This popular shopping and culinary hub in the south of New Delhi is one of the most expensive places to run a store in India. No wonder it’s the world’s 24th most expensive retail hotspot.
With its alleys of international food chains, top-end beauty product brands, couture outlets, designer studios, antique stores and more, Khan Market in Indian capital New Delhi’s southern part is now world’s 24th most expensive retail hotspot.
According to a recent report released by Cushman and Wakefield, the shopping and culinary hub has moved up four positions since last year (the 2016 report) to get the 24th spot.
One of the reasons for this remains the high rentals here. Khan Market is the costliest to hire a shop in India. In the past one year, monthly rentals here stood stable at INR 1,250 per sq ft.
It has been reported that the market rose in its global rankings since last year because of a drop in rentals in some key global markets.
The annual survey took into consideration over 400 retail locations across 66 countries.
This year too, Fifth Avenue in New York continues to be the top player. Causeway Bay in Hong Kong and Bond Street in London rank second and third, respectively.
“The retail sector in India has remained cautious in activities even though there was a visible momentum in leasing across main streets as well as shopping centres,” said Anshul Jain, Country Head and MD-India, Cushman and Wakefield.
Leasing activities across most key micro-markets were led by food and beverages, and fashion and lifestyle brands, he added.
The market also scored well in the Asia-Pacific region. In this region in general the Indian markets projected a good position with Khan Market ranking 11th. In the neighbourhood of New Delhi, DLF Galleria in Gurugram, and in western state of Maharashtra, Linking Road in Mumbai secured 19th and 20th positions, respectively.
While DLF Galleria is a top-notch mall, Linking Road is a street-shopping hub.
“These micro-markets have been commanding high rentals as these are established retail destinations due to factors like their geographic locations allowing access to larger catchment for the retailers,” media reports quoted the consultant.
Within India, the popular shopping hub of Connaught Place in New Delhi recorded the highest year-on-year rental growth of 11.8 pc at INR 950 per sq ft a month.
“Connaught Place, which had slipped from its previous superior retail destination status, saw renewed interest from retailers across categories. The location has gone through a reinvention in the last few years, with the metro construction being completed and making it easily accessible from across the city,” the consultant said.