Colaba witnesses 14 percent Year on Year rental decline; it was flat on Linking Road.
New Delhi : Khan Market in New Delhi is the most expensive retail location in India and the 24th worldwide, a report by global real estate services firm Cushman & Wakefield said on Thursday. With Rs.1,250 ($19) per sq ft rental, Khan Market is followed by Connaught Place in the city centre at Rs.850 per sq ft and DLF Galleria at Gurgaon in Haryana and South Extension in south Delhi at Rs.750 per sq ft. In contrast, retail locations in the country’s commercial capital Mumbai such as Colaba Causeway in southern suburb (ranked sixth) saw 14 percent Year on Year rental decline, while it remained flat on Linking Road (ranked fifth) in the western suburbs.
“Poor infrastructure and lack of amenities for shoppers have led to these locations’ decline in preference, while Lower Parel and Kurla are preferred for their quality space and growing catchment areas,” the report said. Vashi and Chembur in the western city’s northwest and northeast suburbs have, however, seen 14.8 percent and 9.4 percent rise in rental values Year on Year, as population with disposable income grew proportionately. Globally, New York’s Upper 5th Avenue retained top spot with rental at a whopping $3,500 per sq ft, followed by Hong Kong’s Causeway Bay at $2,399, Avenue de Champs Elysees in Paris at $1,372, and Bond Street in London at $1,321.
Khan Market is the most expensive market in India for the last five years as demand for retail space has remained steady. It is centrally located in the national capital, flanked by high-end residential catchment area, with many global and national brands’ stores in its vicinity. Kolkata’ Park Street and Camac Street ranked among top 10 in the Indian retail market despite recording no change in rental values on account of robust retailer interest and a regular inflow of brands to their location.