Core Viewpoint - The commercial dispute between KKV and Zhuoyue Center has escalated, leading to KKV's second forced closure and a conflict between the two parties [1][3]. Group 1: Background of the Dispute - KKV, a trendy retail brand, was once a core tenant in Zhuoyue Center but has faced two forced closures since December 2025 due to alleged performance issues [1][5]. - The partnership began in 2021 with a lease agreement set to last until 2027, but tensions have risen over unmet performance expectations [3][5]. Group 2: Details of the Dispute - Zhuoyue Center claims KKV has consistently failed to meet agreed performance standards, leading to a breach of contract regarding performance-based rent [9][11]. - KKV argues that Zhuoyue Center has not fulfilled its commitments regarding foot traffic and occupancy rates, which have negatively impacted KKV's performance [11][12]. Group 3: Legal and Operational Implications - KKV plans to pursue legal action to resolve the dispute, asserting that the forced closure is unjustified and that their overall business performance is improving [9][12]. - Zhuoyue Center emphasizes that the closure is part of standard management practices in commercial real estate to maintain operational efficiency and tenant equity [10][12]. Group 4: Company Performance and Market Position - KKV operates over 700 stores globally, with the brand contributing significantly to KK Group's revenue, which reached approximately 4.77 billion yuan in the first ten months of 2023 [12][17]. - The brand is positioned as a popular sub-main store in shopping centers, offering a variety of products including food, beauty, toys, and home goods [17].

Core Viewpoint - The commercial dispute between KKV and Zhuoyue Center has escalated, leading to KKV's second forced closure and potential legal action from KKV against Zhuoyue Center [2][11]. Group 1: Background of the Dispute - KKV, a trendy retail brand, was a core tenant in Zhuoyue Center but has faced significant operational challenges, resulting in a forced closure after four years of operation [3][6]. - The partnership began in 2021 when Zhuoyue Center offered KKV a lease agreement until 2027, but issues arose regarding performance and rental payments [4][11]. Group 2: Details of the Dispute - Zhuoyue Center claims that KKV has consistently failed to meet performance standards, leading to unpaid performance-based rent, which constitutes a fundamental breach of contract [11]. - KKV argues that the foot traffic and occupancy rates in Zhuoyue Center have not met expectations, and the center did not fulfill its commitments made during the leasing process [14]. Group 3: Legal and Operational Implications - KKV has stated its intention to pursue legal action to resolve the dispute, emphasizing that the closure of a single store will not impact its overall operational strategy, which includes over 700 stores globally [14][19]. - Zhuoyue Center has indicated that it attempted multiple rounds of communication and proposed solutions to KKV, which were ultimately rejected [11].

Core Viewpoint - A commercial dispute has escalated between KKV, a trendy retail brand, and the Zhuoyue Center, leading to KKV's second forced closure of its store, with both parties blaming each other for the ongoing issues [2][4][9]. Group 1: Background of the Dispute - The conflict began in December 2025, with KKV facing its first forced closure due to Zhuoyue Center's unilateral decision to terminate the lease under the pretext of "business adjustment" [4][6]. - KKV had signed a lease agreement with Zhuoyue Center in 2021, which was set to last until 2027, but the relationship deteriorated after four years of operation [2][12]. Group 2: Financial and Operational Issues - Zhuoyue Center claims that KKV has consistently failed to meet performance benchmarks, resulting in unpaid performance rent, which constitutes a fundamental breach of contract [9][10]. - KKV argues that the foot traffic and occupancy rates at Zhuoyue Center have not met expectations, and the center did not fulfill its commitments made during the leasing process [12][17]. Group 3: Legal Actions and Responses - KKV has announced plans to pursue legal action to resolve the dispute, asserting that the lease terms and conditions are contentious and that they have been compliant with rental payments [12][13]. - Zhuoyue Center has stated that it attempted multiple rounds of negotiations with KKV over three months, offering various solutions that were ultimately rejected by KKV [10][11]. Group 4: Company Profiles - KKV is a core brand under KK Group, which has over 700 stores globally and aims to maintain its expansion despite the ongoing dispute [12][17]. - Zhuoyue Center, developed by a consortium including Jindi, Zhuoyue, and Dabaihui, has been a landmark in the Futian CBD since its opening in 2019 [10].

Core Viewpoint - The conflict between KKV and Shenzhen OneAvenue escalated as the shopping center terminated KKV's lease due to alleged long-term underperformance and non-payment of commission rent, leading to a second forced closure of the store [1][2][4]. Summary by Sections Store Closure Incident - Shenzhen OneAvenue officially reclaimed the KKV store on January 5, 2026, and initiated a new leasing process, resulting in KKV's second forced closure within a month [1][2]. - The shopping center claimed that KKV had consistently failed to meet agreed performance standards and had never paid the contractually stipulated commission rent, constituting a fundamental breach of contract [2][4]. Contractual Dispute - KKV's parent company, KK Group, stated that they had adhered to the contract for over four years without any objections from OneAvenue regarding unpaid commission rent [4][6]. - The contract stipulated a six-year term with a rent structure combining fixed and commission-based components, with the latter being contingent on sales performance [6][8]. Background of the Conflict - The conflict began in September 2025 when OneAvenue attempted to negotiate with KKV but failed to reach an agreement, leading to the termination of the lease on December 31, 2025 [4][5]. - KKV had invested significantly in the store, including nearly 10 million yuan for operations and collaborations, indicating a previously positive relationship [5]. Market Context and Performance - KKV has faced challenges in maintaining store performance, with reports indicating that it had closed over 10 stores nationwide in 2025, while still operating over 600 stores domestically and 700 globally [13][14]. - KK Group's expansion has been slower compared to competitors, with significant losses reported in recent years, raising questions about its market strategy and future growth potential [14][15]. Future Outlook - The ongoing dispute and KKV's performance will be critical as KK Group seeks to navigate its path towards a potential IPO, with past attempts having been unsuccessful [15]. - The resolution of this conflict may impact investor perceptions and the company's ability to capitalize on market opportunities moving forward [15].

Group 1 - The core issue revolves around a commercial dispute between KKV and the Zhuoyue Center, which has escalated to a forced closure of KKV's store after four years of operation [2][3][6] - KKV's store was closed due to alleged poor performance in meeting the agreed sales targets, leading to a breach of the rental agreement based on a "low rent + performance rent" model [10][14] - Zhuoyue Center claims to have made multiple attempts to resolve the issue through discussions and proposed adjustments, which KKV rejected [10][12] Group 2 - KKV asserts that the Zhuoyue Center failed to deliver on promises regarding foot traffic and occupancy rates, which contributed to its inability to meet sales targets [14][19] - KKV has indicated plans to pursue legal action to address the dispute, emphasizing that the closure of a single store will not impact its overall business operations, which include over 700 stores globally [14][19] - The dispute highlights the risks associated with the "low rent + performance rent" model, which requires careful management of sales performance and market conditions [15]

Core Viewpoint - The conflict between KKV and OneAvenue shopping center stems from a mismatch in expectations regarding performance and rental agreements, leading to KKV's store closure and subsequent legal disputes [2][3][4]. Group 1: Conflict Background - The conflict began in September 2025 when OneAvenue attempted to negotiate with KKV regarding underperformance, ultimately leading to the termination of the lease on December 31, 2025 [3]. - KKV's parent company, KK Group, claims that they have fulfilled their contractual obligations for over four years without any disputes raised by OneAvenue regarding unpaid commission rent [6][7]. - OneAvenue asserts that KKV has consistently failed to meet agreed performance standards and has never paid the contractually stipulated commission rent, constituting a fundamental breach of contract [4][5]. Group 2: Contractual Dispute - The rental agreement includes both fixed and commission rent, with the higher of the two being applicable, and KKV has acknowledged that they have not paid the commission rent [7][9]. - OneAvenue's decision to terminate the lease was based on KKV's failure to pay commission rent, which is a common practice in shopping center agreements [8][9]. - KK Group argues that the lack of commission rent payments is not solely due to KKV's operational failures, citing low foot traffic and unmet brand promises from OneAvenue as contributing factors [7][10]. Group 3: KKV's Business Context - KKV has been closing stores across various locations, with over 10 closures reported in 2025, while maintaining a total of over 600 stores in China and 700 globally [10][11]. - KK Group operates multiple retail brands and has been expanding cautiously compared to competitors, with a focus on maintaining brand recognition and market presence [11][12]. - Despite challenges, KK Group has shown signs of revenue growth, reporting a revenue of 47.69 billion yuan in the first ten months of 2023, with a net profit of 2.09 billion yuan [12].

Core Viewpoint - The KKV store in Shenzhen's卓悦中心 was forcibly closed on January 5, 2023, due to alleged rent payment defaults, leading to employee injuries and a significant disruption in operations [1][3][9]. Group 1: Incident Details - The KKV store was abruptly closed without prior notice, with barriers erected to prevent staff from entering, resulting in a halt of operations [1][4]. - Employees reported feeling unprepared for the sudden closure, with some sustaining injuries during the incident [3]. - This incident marks the second time the KKV store has faced forced closure, with a previous occurrence on December 14, 2025, attributed to similar issues [6][9]. Group 2: Contractual Disputes -卓悦中心 claims that KKV has failed to pay performance-based rent, constituting a fundamental breach of contract, and has taken legal steps to terminate the lease [9][11]. - KKV disputes these claims, asserting that they have been paying rent on time and that the termination was based on disputed contractual terms [11][12]. - The two parties have conflicting views on whether KKV is in breach of contract, with both sides maintaining their positions on the matter [15]. Group 3: Background Information - KKV, established in 2019, is a trendy retail brand under Guangdong Kuai Ke E-commerce Co., Ltd., which also owns several other brands [12]. - The KKV store at卓悦中心 was part of a collaboration agreement signed in September 2021, intended to run from 2021 to 2027, with significant investment made in the store's operations [13][15]. -卓悦中心, opened in September 2019, is positioned as a new landmark in the Shenzhen CBD, aiming to redefine the traditional mall experience [11].

Core Viewpoint - The management of One Avenue shopping center in Shenzhen has officially terminated the lease contract with KKV due to KKV's failure to pay the agreed performance rent, leading to the recovery of the store's usage rights on January 5, 2026 [1] Group 1: Lease Termination and Dispute - One Avenue management stated that KKV has consistently failed to pay the performance rent as stipulated in the lease agreement, which has reached the conditions for exercising the right to terminate [1] - Prior to the termination, the management engaged in multiple rounds of communication with KKV and sent formal notices, but KKV did not fulfill its obligation to vacate the premises [1] - KKV's parent company, KK Group, denied allegations of rent arrears, claiming they have paid rent on time and have no outstanding fees [6] Group 2: Financial Performance of KK Group - KK Group, which owns KKV, reported a revenue growth of 55.5% year-on-year to 4.749 billion in the first ten months of 2023, with an operating profit of 376 million [7] - The company's revenue growth slowed from 2020 to 2022, with revenues of 1.646 billion, 3.524 billion, and 3.551 billion respectively, and cumulative losses of 703 million over the three years [7] - KK Group has made several attempts to go public, but its prospectus has expired [7] Group 3: One Avenue Shopping Center Overview - One Avenue shopping center opened on September 12, 2019, and is a joint development by three major groups: Jindi, Zhuoyue, and Dabaihui, becoming a new landmark in the Futian CBD [6] - The official data indicates that One Avenue achieved a sales revenue of 6.1 billion in 2024 [6]

Core Viewpoint - KKV's store at Shenzhen's Joy City has been forcibly shut down again due to ongoing disputes over unpaid performance rent, leading to physical altercations between staff and mall personnel [1][10][11]. Group 1: Store Closure and Dispute - KKV's store was forcibly closed on January 5, 2026, after a series of conflicts with the mall management, which included physical confrontations and police involvement [1][8][10]. - The mall management stated that KKV had never paid the agreed performance rent since the store's opening, which justified their decision to terminate the lease [10][11]. - KKV claimed that the mall used aggressive tactics, such as cutting off water and electricity, to force an early termination of the lease [3][7]. Group 2: Financial and Operational Context - KKV has received approximately 440,000 yuan in operational support from the mall, including rent reductions and marketing resources, despite failing to meet performance standards [11]. - The performance rent is based on a percentage of the store's monthly revenue, and KKV has consistently underperformed, leading to the mall's decision to terminate the lease [11]. - KKV's parent company, KK Group, has faced financial challenges, with reported revenues of 16.46 billion yuan, 35.24 billion yuan, and 35.51 billion yuan from 2020 to 2022, and a net profit of 2.09 billion yuan in the first ten months of 2023 [14][15]. Group 3: Company Growth and Market Position - KKV operates around 600 stores nationwide, with a significant slowdown in new openings, adding only 50 stores in the first ten months of 2023 compared to previous years [15]. - KKV accounted for 66.5% of KK Group's revenue in 2022, indicating its importance within the company's portfolio [14].

Core Viewpoint - KKV's store in Shenzhen's Joy City has been forcibly closed again after a brief reopening, leading to conflicts with property management and raising concerns about the brand's operational stability [5][8][9] Group 1: Store Closure and Conflicts - KKV's store was closed on January 5, 2025, after property management initiated a strong eviction without prior notice, leading to physical confrontations between staff and management [6][8] - The store had only resumed operations for less than 20 days before being shut down again, indicating ongoing instability in its business environment [5][8] - KKV reported that the property management used aggressive tactics, including blocking access to the store and preventing staff from working [8][9] Group 2: Background and Business Operations - KKV, established in 2019, is a trendy retail brand under Guangdong Kuai Ke E-commerce Co., Ltd., which also owns several other brands [9] - The brand signed a cooperation agreement with Shenzhen Joy City from 2021 to 2027, but recent disputes over relocation have led to tensions between KKV and the mall management [9] - KKV has attempted to go public multiple times, with its latest IPO application submitted on January 31, 2024, although the prospectus has since expired [9]