Khan Market ranked 22nd most expensive retail market globally: report

The report stated that as many as 16 Indian main streets were among the 51 most expensive main street markets in the APAC region

Delhi’s Khan Market has emerged as the most expensive retail market in India as it bagged the 22nd spot in the global ranking of main street markets with 3 percent year-on-year (YoY) growth in its rentals, according to a report released by Cushman & Wakefield, a real estate consultancy firm.

The report stated that as many as 16 Indian main streets were among the 51 most expensive main street markets in the APAC region. New York’s Fifth Avenue retains its top ranking as the world’s most expensive retail destination, despite recording flat rental growth YOY and Milan’s Via Montenapoleone jumped a spot into second, displacing Hong Kong’s Tsim Sha Tsui, which slipped to the third, the report said.

“Pre-pandemic to present growth in rentals at Khan Market was recorded at 7 percent while the YOY growth in rentals at the high street market was 3 percent. This got the Khan Market 22nd spot on the global main street list. At present Khan Market commands a rent of $217 per square feet per year (around Rs 1506 per sqft per month),” the report released on November 21 said.

The report showed that Khan Market slipped one position from its 2022 global ranking. In 2022 global ranking the high street market was at 21st place.

According to the report, the top five most expensive main streets of India in the APAC region were - Khan Market (22nd), Connaught Place (30th), Mumbai's Linking Road (33rd), Gurugram's Galleria Market (31st), and Kolkata's Park street (37th).

It stated that Anna Nagar 2nd Avenue and Pondy Bazaar in Chennai ranked among the most affordable locations in the APAC region with rents at $22 per sqft per year (Rs 152.7 per sqft per month) and $24 per sqft per year (Rs 166.6 per sqft per month) respectively. Banjara Hills in Hyderabad recorded a significant 40 percent growth in rentals, although it is still counted amongst the relatively cheaper markets in the Asia-Pacific region.

Saurabh Shatdal, MD, capital markets and head-retail India at Cushman & Wakefield said, “Indian main streets have benefitted from a dearth of space across quality grade retail malls. Main street rentals have grown by 10 percent YoY on average. With an influx of premium brands into mainstreets, the demand for space in mainstreets experienced a fundamental uplift, both on rents and character.”