Latest Property News on 'Retail Market in India'

Investors prefer Commercial rather than Residential property

Individuals are no longer eyeing only residential properties as a lucrative investment opportunity. Rather, it is commercial retail space that has now become hot property.

Given that the appreciation potential and rental return in commercial real estate is far higher than in the residential segment, this is not surprising. Moreover, the various options that have sprung up in retail have also played an integral role in generating high awareness levels. Read More »

Jewellery Malls set to Dazzle in Retail Space

Jewellery malls’ are the hot news in the $12 billion Indian retail industry. With the burgeoning disposable income of shoppers and easy availability of loans, retailers and real estate developers see a huge market for large jewellery formats in the country.

Vardhaman Developers Ltd, in association with Bherumal Shamandas, an old time jeweller, is launching ‘Jewel World’ mall at Zaveri Bazaar in Mumbai at an investment of Rs 35 crore. The mall will have 70 national and international branded jewellers as anchor tenants. Rajesh Vardhan, managing director, Vardhaman Developers Ltd, told FE, “We are targeting jewelers from Dubai, Singapore, Hong Kong, Malaysia and Italy and are in the process of converting the eight-floor Cotton Exchange Building into ‘Jewel World’ mall by renovating the interiors so that it’s ready by May. Of the Rs 2 lakh crore gold and diamond jewellery market, 70% is contributed by Zaveri Bazaar. The high-security mall will comprise a basement with locker system, apart from eight floors of retail shopping zone.” Vardhan said, “The positioning and target audience of Jewel World is high-end customers, including the young generation, apart from semi wholesalers-cum-retailers. After all, the youth will drive retail mall shopping in India.” Read More »

Expansion of Organised Retail Pose Threat for Kirana Stores

Researchers of ICRIER study, commissioned by the government, have said that Kirana stores, especially those on the periphery of big super markets, will be the first ones to bear the brunt of rapid expansion of organised retail.

The report also said that kirana stores have a lead time of 10 years which they can use, with the support of the government, to innovate and be a part of the retail revolution. Read More »

Israeli Giants Enter Indian Retail Sector

Israeli mall giants, owners of retail-linked realty assets across the world, are buying into India’s money minting retail sector. Tel Aviv-based mall giant Gazit Globe has tied up with one of the HDFC funds to pump in $150 million into developing assets, including supermarket anchored retail play. Big Shopping Group, of of Isreal’s biggies has teamed up with Lehman Brothers Real Estate Private equity to set up ‘open malls’ in tier I and tier II cities.

Israeli tycoons and families, which raked in money from core real estate developments in the US, have turned their attention to retail assets from Sao Paulo to Macedonia, as mall ownership and management provides attractive 20% plus annualised returns in developing markets. Billionair eChaim Katzman, at the helm of Gazit Globe, is no exception as he went on acquiring shopping centres from market to market. Read More »

Ahmedabad Hosts Infrastructure and real estate exposition

The booming capital of Gujarat, Ahmedabad organized the Infrastructure and real estate exposition recently. The programme was planned by Gujarat Institute of Housing and Estate Developers (GIHED). The exhibition involved six core sectors: real estate, SEZ, township, retail and speciality projects, infrastructure, hospitality and education.

Speaking on the occasion, Mr Nitin Patel, the Urban Development Minister, Gujarat said, “It is a proud moment for all of us in Gujarat to be hosting India’s largest real estate and infrastructure exposition. This initiative by GIHED will attract best leaders in infrastructure and real estate sector from across India to come and invest in the state. I welcome all of you to be integral part of the new and progressive Gujarat and India.” Read More »

Armani and DLF Get Together for Retail Venture

Leading Italian designer Giorgio Armani’s firm has joined hands with India’s biggest real estate company, DLF Ltd .Giorgio Armani Holding BV, a wholly-owned subsidiary of the Italian firm, will take 51 percent in the venture, the maximum allowed for a single-brand foreign retailer in India.

Armani will bring 10 million rupees ($250,000) to the venture, which would “also act as a wholesaling firm supplying Armani-branded products to other independent retailers”, it said. Read More »

Us Retail Major Kroger Plans Entry into Indian Real Estate

The $66-billion US based grocery giant, Kroger is all set to enter into Real Estate India. According to reports, the company representatives have already met 3-4 prominent real estate companies of India for joint ventures.

Some prominent sources said that Kroger is primarily interested in jointly developing new FDI-compliant commercial projects or buying into existing ones. Interestingly, America No. 3 general retailer behind Wal-Mart and The Home Depot runs all its nearly 2,500 supermarket stores in the US. Read More »

Barclays Targets double-digit Share in Indian Retail Sector

World reckoned banking major, Barclays, have plans to get a double digit market share in the Indian Retail Sector. The banking major has recently invested USD 70-million into India’s retail operations.

Despite being a late entrant into the retail segment, Barclays target’s to make a strong mark in the sub-continent. Samir Bhatia, Managing Director-Indian Ocean told reporters that they are planning to open a new branch in Gujarat by the new-year. Read More »

India Witnesses Massive Growth in Retail Sector

Retail sector has witnessed an immense growth in the last few years. The key factors responsible for the retail boom have been the change in consumer profile and demographics, increase in the number of international brands available in the Indian market, economic implications of the government, increasing urbanization, credit availability, improvement in the infrastructure, increasing investments in technology and real estate building a world class shopping environment for the consumers.

If numbers are to be believed, India’s retail industry is estimated at about USD 350 billion and forecast to be double by 2015. After agriculture, retail is the largest source of employment and has deep penetration into rural India. Retailing contributes to 10% of GDP. Read More »

GrandVision Seeks a Deal with Reliance

Vision Express, part of Europe’s largest optical retail group GrandVision is in discussion with Reliance Retail for an exclusive distribution agreement. Vision Express is also planning to set up distribution centres in India, to supply to Reliance stores.

Whereas, Reliance Retail’s president & CEO in charge of operations and strategy, Raghu Pillai, said that, he is not aware of this and it’s not true. Read More »