• Delhi's Khan Market retains its position as the 22nd most expensive retail location globally, with an annual rent of $229 per square foot.
• The market's performance highlights the resilience of India's retail sector, with Delhi-NCR hosting the country's top three most expensive retail high streets.
• Bengaluru's Indiranagar saw the strongest rental growth in the Asia-Pacific region, while Anna Nagar in Chennai was the most affordable.
• The global retail landscape is shifting, with Milan's Via Montenapoleone overtaking New York's Upper 5th Avenue as the world's most expensive retail destination.

Delhi's Khan Market has once again been recognized as one of the most expensive retail locations globally. According to a recent report by Cushman & Wakefield, the market has maintained its position as the 22nd most expensive main street worldwide. The report, which evaluates rents in 138 premier retail locations across the globe, revealed that Khan Market boasts an annual rent of $229 per square foot, approximately Rs 19,330, reflecting a 7% year-on-year growth.

The findings of the report underscore the resilience and strength of India's retail sector. Delhi-NCR now hosts the country's top three most expensive retail high streets. Alongside Khan Market, Connaught Place in Delhi and Galleria Market in Gurgaon also feature prominently in the Asia-Pacific rankings. These locations command annual rentals of $158 (Rs 13,335) and $156 (Rs 13,166) per square foot, respectively.

Khan Market: A High-End Retail Hotspot

Saurabh Shatdal, Managing Director, Capital Markets, and Head of Retail-India at Cushman & Wakefield, highlighted the significance of Khan Market's performance. He stated, 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.

The report also noted that Bengaluru's Indiranagar saw the strongest rental growth market in the Asia-Pacific region, while Anna Nagar in Chennai was identified as the most affordable in the region. Shatdal further added, With malls facing supply constraints, main streets across India are thriving, driven by robust demand and strong rental growth. As of YTD 2024, main streets have recorded leasing of 3.8 msf, marking an 11% year-on-year growth.

Global Retail Landscape: A Shift in Rankings

Globally, Milan's Via Montenapoleone, where rents have risen by nearly a third in the past two years, has overtaken New York's Upper 5th Avenue to be crowned the world's most expensive retail destination. This shift in rankings is a testament to the enduring importance of vibrant shopping destinations like Khan Market.

Shatdal concluded, With India's robust economic growth and evolving consumer preferences, the country's retail sector is poised for sustained success. The report found that competitive tension for limited space saw rental growth recorded in 57% (79) of the 138 locations tracked, declines in just 14% (19), with the remainder 29% (40) flat. This resulted in a global average rental increase of 4.4%.