Retail Leasing Activity Escalates Across Malls in Tier I Cities
Retail leasing activity in shopping centres has actively increased by 5% from the previous half-year 2.43 million square feet in the second half of 2022, states a report by CBRE. This indeed is very welcoming news for the industry, as we are witnessing heightened activities and customers are seen to be thronging again to malls.
There is a significant rise in footfall and improved occupancy of 94% in established Grade A malls across major cities, which has also caused rental values in malls to appreciate predominantly in cities like Bengaluru, Kolkata, and MMR. The commercial edifices have been replaced by newer, better ones as the number of those looking to rent retail space has gone up. The total supply in 2022 touched 20.9 million square feet. The majority of this space take-up was led by domestic occupiers.
Can we think of a better start for the industry in this year, which is still being affected by the new variants of the Covid? The new normal is helping retail grow at every turn and it is heartening to see how brands are responding to the changes today. Be it D2C or the traditional ecosystem, retail is changing its course to stay afoot with the changing times. A lot is happening, and we are eagerly witnessing all these and more to learn a thing or two.
The March edition of the Shopping Centre News analyses some of the key winning formulas, which shopping centre developers across India are implementing currently. Even though a one-size- fits-all approach no longer works, that doesn’t mean winning strategies cannot be shared.
Developers have understood that they need to transform their malls into community spaces to stay relevant to today’s far more discerning customers. The marketing strategies based on demographics, consumer profiles, existing retailers and competition are leading parameters which are influencing the success mantras for malls to help them run the show better.
As always, we hope you find the issue informative and useful. Log on to our website https://www. indiaretailing. com/ category/shoppingcentre/ for more features, analysis and expert opinions.