Who owns Khan Market, India’s most expensive retail market? The rent here is Rs…, its located in…
GH News January 13, 2025 03:06 AM
Delhis famous Khan Market which was recently ranked as the 22nd most expensive retail street in the world is one of the most lavish retail markets in India. According to the 34th edition of the Main Streets Across the World report by Cushman & Wakefield Khan Market is the costliest retail market in India boasting an annual rent of $229 per square foot (Rs. 19330) reflecting a 7 percent year-on-year growth.
Who owns Khan Market?
The Khan market is owned by the Government of India with majority of the shops operating on a lease basis. Initially the monthly rent was set at Rs 50 per but prices climbed in 1956 following the Ministry of Rehabilitations plan to allocate shops at Rs 6516.
At present the monthly rents of most shops in the luxury market exceeds Rs 6 lakh according to various reports.
When was Khan Market established?
Located in in Lutyens Delhi one of the most posh localities in the national capital Khan Market was established in 1951 and is named after freedom fighter Abdul Jabbar Khan who is said to have rescued Hindus from Pakistan during the 1947 partition.
According to the report by Cushman & Wakefield Khan Market has witnessed a 7 percent year-on-year growth in monthly rent which is much higher than the global average of 4.4 percent As per the report 79 out of the 138 locations surveyed globally reported rental increases with an average rental growth of 4.4 percent
Highlighting the significance of Khan Markets performance Saurabh Shatdal Managing Director Capital Markets and Head of Retail-India at Cushman & Wakefield noted that the premier market attracts affluent shoppers solidifying its reputation as a high-end retail hotspot.
Known for its curated mix of premium brands and upscale boutiques Khan Market attracts affluent shoppers solidifying its reputation as a high-end retail hotspot. The limited availability of retail space in the area creates intense competition pushing rental values higher Shatdal said.
Indias main streets thriving as malls decline
Saurabh Shatdal noted that while main streets across India shopping malls are in a decline due to supply constraints. This is driven by robust demand and strong rental growth. As of YTD 2024 main streets have recorded leasing of 3.8 msf marking 11 per cent year-on-year growth.
Across the Asia-Pacific region Bengalurus Indiranagar emerged as the strongest rental growth market while Chennais Anna Nagar was noted as the most affordable retail street in the region.
The global retail landscape has seen significant shifts with Milans Via Montenapoleone dethroning New Yorks Upper 5th Avenue to become the worlds most expensive retail destination.
This marks the first time a European street has topped the rankings. Rents have surged by nearly a third on Via Montenapoleone over the past two years solidifying its status as a premier luxury shopping hub.
Shatdal said Globally super-prime physical retail spaces remain central to retailers strategies highlighting the enduring importance of vibrant shopping destinations like Khan Market. With Indias robust economic growth and evolving consumer preferences the countrys retail sector is poised for sustained success.
(With inputs from agencies)