Some eateries in Futian District have received rent reduction from property owners, thanks to government policies aimed to reduce burdens of small and micro-sized enterprises.
The Five Cereals Kitchen, a restaurant in Futian District, received a rent reduction notice from the property manager, Futian District Government Property Management Center, on Tuesday, the first day it resumed business.
According to Zhang Hui, the restaurant’s operation supervisor, the government has exempted them from their March rent and halved their April rent, with total rent exemption and reduction of about 180,000 yuan (US$28,200).
“We really appreciate the government measures in helping small and micro-sized enterprises to go through these difficulties,” Zhang said.
To support enterprises, especially small and micro-sized ones that have taken a hit from the city’s recent COVID resurgence, Futian District recently unveiled 10 relief measures, such as providing rent reductions and financial subsidies.
The measures include rent reductions for companies using properties owned by either the district government or district-owned enterprises in March and rent reductions up to 50% in some other circumstances in March or April.
Eligible catering companies can receive subsidies ranging from 200,000 yuan to 2 million yuan, depending on their business scales, for opening new outlets in Futian.
A survey from Shenzhen Cuisine Association showed that eateries were hit hard and 90% of them complained that their revenue was cut by half between January and March, compared to the same period last year. They were burdened with heavy costs in rent, labor and ingredients. If they don’t get substantial aid in finance, policies or rents, some of them will be forced to close in May, according to the survey.
The associations called for property owners, private entities or government departments to reduce rents and management fees or adopt interest-free installment payment policies, and for financial institutions to lower loan interests and the government to unveil substantial aid measures for tenants going through difficulties.
According to Liu Yongzhong, head of the Shenzhen Cuisine Association, the eateries which have resumed services are required to strictly implement COVID measures.