With COVID-19 wreaking havoc in the country, average monthly rentals across the key high street markets in top cities witnessed some corrections. As per recent data by ANAROCK Research, the iconic retail hub in Delhi – Khan Market – saw average monthly rentals reduce by as much as 8% to 17% in Q1 2021 against Q1 2020. Likewise, high street markets of Kala Ghoda, Bandra Linking Road and Fort in Mumbai (one of the worst-affected cities) also saw high street retail rentals decline anywhere between 5% to 10% during the same period.
However, there were also few markets that saw an upward trend. For instance, Hyderabad localities such as Gachibowli, Banjara Hills, Jubilee Hills saw average retail rentals increase in Q1 2021 against Q1 2020.
Mumbai saw about 5-10% decline in rentals rates in key markets as on Q1 2021 against the previous year. The current average monthly rentals at both Kala Ghoda and Fort area are around Rs 450-500 per sq ft each, while at Bandra Linking Road it stands at about Rs 750-900 per sq ft.
The country’s most expensive retail hub – Khan Market in New Delhi - saw a drop of between 8-17% in average monthly rentals in Q1 2021, as against Q1 2020. The average monthly rentals hovered b/w Rs 1,000-1,100 per sq ft as on Q1 2021-end. Likewise, in GK-1 M Block, rentals reduced between 13-14% and are presently b/w Rs 300-350 per sq ft.
Brigade Road in Bengaluru saw a drop in rentals between 8-17% in Q1 2021 as against Q1 2020 with current avg. monthly rentals between Rs 250-275 per sq ft. At Indiranagar, the rentals range between Rs 225-250 per sq ft.
Another highly impacted city was Pune where average high street monthly rentals dropped anywhere between 8-20% in Q1 2021 in comparison with Q1 2020. While M G Road saw rentals maintain status quo of Rs 250-275 per sq ft, the landlords on J M Road are also holding the rents at Rs 275-300 per sq ft despite vacancy.
Kolkata also saw a decline in its high street rental rates, Gariahat Rashbehari Avenue being the worst affected in the city with rental rates dropping to Rs 160- 220 per sq ft in Q1 2021 from Rs 250-260 per sq ft in Q1 2020.