31 new shopping malls to be operational by end of next year: Real Estate
According to Anarock, the retail industry is expected to see a strong recovery, leading to the opening of up to 31 new buying department stores by the end of the following year.
The market will welcome a total of 15 new department stores this year, dispersed across 12 locations, and another 16 will open their doors in 2023. Location-wise, property agent Anarock noted that new retail space in buying department stores is anticipated to increase 70.6 percent this year on an annual basis.
According to a statement from Anarock, “Retail real estate is making a strong return, with nearly 10.15 million square feet of new mall delivery slated to enter Tier 1, 2, and three towns in 2022, and another 7.25 million square feet in 2023.” 5.76 million square feet of new retail real estate were delivered to the nation in 2021.
The finest delivery of four new department stores, totaling 2.5 million square feet, will be made in Chennai this year. Other Tier 1 cities with new mall deliveries encompass a 5.10 million square foot area and include Ahmedabad, Bengaluru, Hyderabad, Mumbai, Pune, and Ghaziabad in the NCR. Baroda, Budaun, Indore, Nagpur, and Udaipur are among the Tier 2 and Tier 3 towns, with a combined area of about 2.50 million rectangular feet.
“In 2020, COVID-19 had a significant negative influence on the economy as a whole and retail in particular. Physical stores in department stores and busy streets have been severely impacted, making a quick recovery seem unlikely “Anarock Retail’s COO and Joint MD, Pankaj Renjhen, said. Due to the disruption caused by the COVID pandemic, mall managers had to reevaluate their business strategies.
“The big national vaccination force, however, was replaced with a much milder 1/3 wave at the beginning of 2022, and the regulations were removed, allowing money sports to resume. This has sparked a fresh boom in the retail industry “Declared Renjhen. According to Anarock, India’s retail real estate industry is responding to noticeably increased footfalls as consumers return to more routine spending.
Malls are once more seeing high occupancy rates, and larger organized shop space is needed. Mall developers are wrapping up their projects and adding new inventory quickly thanks to the high leasing volumes generated by occupiers across all classes and the momentum seen inside the Tier II & III towns. In each of seven cities — Bengaluru, Chennai, Gurugram, Hyderabad, Mumbai, Pune, Bhopal, Cuttack, Jamshedpur, Kochi, Lucknow, and Vizag — sixteen new department stores will open in 2023.
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