Malls in Mumbai saw a vacancy of 14.5 per cent between April and June this year, according to a report by realty consultant Cushman and Wakefield. The numbers indicate a revival for the demand in mall space as vacancies were as high as 20 per cent two years ago. While Pune recorded a similar vacancy at 13.3 per cent, Bengaluru saw even lesser vacancies at 10 per cent. Mumbai, Chennai, Delhi and Bengaluru have traditionally had an appetite for malls but Delhi recorded a high vacancy. At 22.5 per cent vacancies, Delhi was second only to Ahmedabad, which has 27.7 per cent of its mall space vacant.
Incidentally, Kolkata (6.6 per cent) and Hyderabad (4.5 per cent) saw a record low in mall vacancies, indicating a demand for mall spaces in the cities. According to Cushman and Wakefield, Rajarhat in Kolkata observed addition of 3 lakh square feet to the city’s retail space after a gap of two years with completion of Downtown Mall.
The consultant has projected a growth in investment in malls in the future. “In the near future main streets that promise high visibility and footfall to retail brands are expected to continue to drive majority transactions with key demand coming from apparel retailers,” read the report.
“Compared to the last few years, 2018 continues to observe considerable investment activity in retail assets and this upswing is expected to continue,” said Anshul Jain, Country Head and Managing Director India, Cushman and Wakefield.