Rentals In Commercial Micro Markets Almost Double In 5 yrs
New Delhi: The average rentals in prime commercial location Khan market in New Delhi have climbed 86 percent between 2014 and 2019. The average rentals were Rs 700 per square feet in 2014 which went up to Rs 1,300 per square feet in 2019, according to ANAROK Property Consultants.
However, in percentage terms, this was not the highest spike in rentals in any micro market in the country. The Fun Republic mall in Andheri West in Mumbai saw maximum appreciation in average rentals in the country. The average rentals went up from Rs 155 per square feet in 2014 to Rs 300 per square feet in 2019, a jump of 94 percent.
Connaught place saw the rents climb up from Rs 600 per square feet to Rs 1,000 per square feet, an increase of 67 percent.
South-Ex, another prime commercial place in New Delhi saw the rentals move from Rs 450 per square feet to Rs 800 per square feet, an increase of 78 percent.
The BKC in Mumbai witnessed the rents moving from Rs 300 per square feet to Rs 500 per square feet, a jump of 67 percent.
The Saki Naka micro market saw the rental going up from Rs 190 per square feet to Rs 320 per square feet, a jump of 68 percent.
“Rentals - as a percentage of operating costs - have nearly doubled in the last few years eating away almost 15-20 percent of their (café chains) overall revenue on an average - in prime locales, they can go as high as 25 percent,’ said Anuj Kejriwal, MD and CEO-ANAROCK Retail.