Retail boom a boon for malls

The booming Indian retail market will witness a higher mall density with their number expected to double by 2007. A recent study by Images on retail revolution says the number of malls in the country, which is around 100 at the moment, is expected to cross 350 by 2007. “By mid-August this year, there were 96 malls in India. By 2005-end, there will be 158 malls and in two years, the number is expected to touch 358,” it says.

According to Amitabh Taneja, Director (India), International Council of Shopping Centres, the projection for emerging retail space by end-2005 stood at 26.4 million sq ft of built-up area when last compiled in February 2004. This second report details over 32 million sq ft of mall space by the year- end. Two million sq ft more would be under development that could not be listed.

As per ongoing projects, built-up mall area will rise from 32.6 million sq ft in 2005 to 87.8 million sq ft in 2007. “Rate of growth in mall space will drop from 97% in 2005 to about 61% in 2007. North zone will account for 39% of total mall space followed by West zone (33%), South zone (18%) and East zone (10%),” it added.

Also, the thrust in mall development will come from smaller B-grade cities which are expected to have about 12.8 million sq ft of mall space by 2007.