Why bigger and more shopping malls are coming up in top cities
shop online. After the Covid lockdowns, retailers had started shutting stores or reducing the size of stores to save on rentals.
The trend has reversed with the return of shoppers to the malls and markets.
The new supply of retail space in shopping malls increased 72 percent last year to 59.48 lakh square feet across eight major cities to meet rising demand from retailers, according to Cushman & Wakefield. In 2023, as many as 11 shopping malls became operational, covering 59,48,395 square feet of space across the top eight cities.
In the previous year, nine malls came into eight markets, totalling 34,49,222 square feet area. Hyderabad witnessed the completion of three shopping malls, while Pune and Chennai had two each.
One shopping mall each came up in the Mumbai Metropolitan Region, Delhi-NCR, Bengaluru, and Ahmedabad. No fresh supply was seen in Kolkata.
A retail real estate boom
New supply of retail real estate space is expected to rise 43 per cent across seven major cities by 2027 as developers are expanding their business amid strong revival after the pandemic, according to a JLL India report 'India Retail: Evolving to a new dawn' released last year.
«India's retail sector is on an elevated growth curve where the focus is on creating an innovative built environment, greater connections with the consumers, and curating physical storefronts in untapped regions of the country including tier II and III cities,» said Rahul Arora, Head of Office Leasing Advisory and Retail Services, India, JLL.
«Following massive residential development, the retail spaces are now experiencing high tailwinds. The main factors driving this trend are favourable global perception, high growth opportunities, rapid economic progress and
