According to Cushman & Wakefield, global property consultant, Delhi's upscale Khan Market has moved up one position to become the world's 20th most expensive retail location. The rankings are based on rentals during the second quarter of 2019 calendar year wherein the consultant tracked 448 locations across 68 countries. Based on these findings, the consultant in the latest report 'Main Streets Across the World 2019', said that Khan Market is ranked 20th in the list of the most expensive retail locations with an annual rent of $243 per sft. Last year, Khan Market was at 21st place with an annual rent of $237 per sft.
The report stated that Causeway Bay in Hong Kong retained the number one ranking, commanding an annual rent of $2745 per sft, while New York's Upper 5th Avenue is at second position ($2250 per sft), followed by London's New Bond Street ($1714 per sft) and Avenue des Champs Elysees in Paris ($1478 per sft). Via Montenapoleone in Milan, Italy ranks fifth with an annual rent of $1447 per sft, the report said. The short-term outlook is upbeat, with rents expected to edge up in the major high streets where supply remains constrained, the report said.
"The rental trends over the past year have largely been pointing upwards, with the lack of availability in the best shopping malls pushing more brands to seek out prominent, high footfall locations in the main commercial corridors," the report stated. While high street rents in the bigger cities of Mumbai, Delhi-NCR and Bengaluru have experienced only marginal increases, other cities such as Chennai, Pune and Kolkata, which have a more vibrant high street culture, have recorded much stronger rental uplift, it added.
The growth sectors include food and beverage (F&B), clothing and accessories, along with hypermarkets and e-commerce retailers opening physical stores. Some large store formats are also experimenting with standalone outlets close to key commercial and residential markets along major roads, it said.