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Shopping center Lotte FITIN will be closed down by Dec. 31 due to the effects of the pandemic on the fashion business.
Lotte Asset Development, Lotte group's real estate firm, has been operating the mall for seven years. Over 50 percent of its sales came from foreign tourists.
According to a Lotte Asset Development official, the majority of clothing brands in the mall are currently leaving due to the economic damage caused by the pandemic, causing a lack of operational efficiency.
This year, business worsened due to COVID-19 as travel bans between countries cut off all the tourists to the shopping mall. Clothing shop owners left the mall feeling the burden of fixed costs such as store rental fees and wages.
Consequently, Lotte decided that it is better to close down the building. The company is still figuring out what to do with the mall.
Lotte FITIN was opened in May 2013 to offer experiences relating to hallyu, or the Korean wave, in Dongdaemun Market, which received many international tourists. The Chinese accounted for 80 percent of foreign visitors.
However, the number of Chinese tourists fell drastically in 2015. Coupled with more people shopping online, Dongdaemun lost its luster as a fashion hub.
The government tried to revive the area but it was futile.
