 |
Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] Tensions remain high as Incheon International Airport Corporation (IIAC) refuses to accept rent adjustment requests from Shilla and Shinsegae Duty-Free Shops ahead of the second mediation hearing scheduled for the 28th.
The airport authority has publicly declared its rejection of the adjustment, effectively boycotting negotiations and prompting duty-free operators to hint at possible store closures, escalating the standoff.
On the 12th, IIAC held a briefing where it cited fairness concerns, stating that the current rent levels requested for adjustment were based on amounts submitted by bidders during open competitive tenders. IIAC accused Shilla and Shinsegae of trying to shirk their managerial responsibility for overbidding by demanding rent reductions.
The briefing followed the release of an appraisal report by Samil Accounting Corporation, commissioned by the court to assess fair rent levels for duty-free stores at Incheon Airport.
This appraisal was prompted by Shilla and Shinsegae’s request to reduce rent by 40% for duty-free zones (DF1 and DF2) at Terminals 1 and 2, covering cosmetics, perfumes, liquor, and tobacco. The court entrusted Samil Accounting Corporation with evaluating appropriate rent levels.
In its appraisal submitted to the Incheon District Court on the 7th, Samil Accounting predicted that rents upon re-tendering would fall by approximately 40% from current levels.
The appraisal also noted that while rents calculated by multiplying per-passenger fees continue to rise with increased passenger numbers, changing consumption patterns—especially among Chinese and domestic travelers—are causing a gradual decline in duty-free sales.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
