Lutyens Delhi Khan Market is India's new elite high street, and has emerged as the most expensive retail location, within India. The last one year, has seen Delhi's micro markets dethroning those of Mumbai, only to emerge as the costliest markets of the sub-continent.
Ranking 24th on the global list, Khan Market should be chuffed about itself, as that is quite something, considering it didn't make it to last year's list, when Mumbai's No. 41, Linking Road was the top Indian market.
Fifth Avenue, New York continues to retain the top position, closely followed by Causeway Bay in Hong Kong in the second position, and Paris's Avenue des Champs Elysees coming in third. Cushman & Wakefield (C&W), the global real estate consultancy firm that sends out an annual report called Main Streets Across the World 2006, bases it on global retail rents and ranks world markets, accordingly.
The insatiable demand for rental space in Delhi has caused rents to soar, and last year, Delhi's rental increases were highest world over. During this period, retail space rentals in certain micro markets of Delhi like Greater Kailash, South Extension and Connaught Place, more than doubled.
The retail rental increases were also in part, due to the sealing drive undertaken by Delhi's civic authorities under instructions from the Supreme Court. And, it was South Extension that witnessed a 111.5% increase from last year's retail rents of Rs. 220 per sq. ft. to Rs. 550 per sq. ft. per month. Similarly, retail space rents in Greater Kailash and Connaught Place increased by 110% and 100% in the last one year to Rs. 525 per sq. ft. per month and Rs. 400 per sq. ft. per month, respectively.
This while, Mumbai markets were witness to a relatively moderate increase in retail rents. Linking Road that commanded the highest rental rates in India at Rs. 285 per sq. ft. per month a year back, increased them by 58% to the present Rs. 450 per sq. ft. per month. Similarly, other areas like Kemps Corner and Colaba Causeway also witnessed rental rises of 28% and 36% costing Rs. 275 per sq. ft. per month and Rs. 225 per sq. ft. per month, respectively.
The Indian real estate juggernaut, whether commercial or residential is on an unstoppable roll!
