MARKETBEAT

Retail Snapshot Q1 2016

DELHI-NCR, INDIA

ECONOMIC INDICATORS Economy

The GDP growth of Indias economy moderated in the
National 2014 2015 third
arter. e 2016F
quarter of FY201516 to 7.3% from 7.7% in the previous
GDP Growth 6.6 7.2% 7.6%
r. ary, P) The construction sector recorded a growth of 4.0% during
% th third quarter, up from the 1.2% growth in the previous 5%,
CPI Growth 6.7 6.0% 5.9%
% quarte Retail inflation eased to a four-month low of rve
Private Final Expenditure 6.8 6.2% 7.6% from 5.69% in January. The Index of Industrial Production s
Growth % (II
Govt. Final Expenditure 0.4 12.8% 3.3% contracted for the third consecutive month in January at
Growth % (-)1. led by a decline in the production of capital goods. The
Source: CSO, RBI, Oxford Economics Rese
PRIME RETAIL RENTS MARCH 2016 monetary policy review, but remained committed to an
Main Streets accommodative stance.
INR EU U Q- Y-O-Y et
RO SF/S O-Q Change
SF/MTH SF/ Chan Market Overview were
YR YR ge
Khan Market 1,250 2 2 0.0 0.0% New mall supply led to higher vacancy levels. Delhi- ed
South 0 2 % NCR
Extension I 700 1 1 - -6.7% witnessed new mall supply aggregating 1.9 million
& II during the first quarter of 2016. Overall mall vacancy
Lajpat Nagar 225 3 4 0.0 0.0%
noted at 22.0%, increasing by 5.1 percentage points ity.
6 1 %
Connaught Place 850 1 1 0.0 compar
0.0% ost
to the previous quarter due to an infusion of new supply.
Greater Kailash I, 3 5 %
475 7 8 - -13.6% he
M Block 6 6 13.6 Mall rentals remained stable across submarkets in rger
Rajouri Garden 200 3 3 0.0 the c
0.0%
2 6 % 0.0%
Punjabi Bagh 200 3 3 0.0 malls with steady demand in prominent malls. Brands
2 6 %
Karol Bagh 375 6 6 0.0 0.0% food and beverage (F&B) and apparel segments such as
0 8 %
Kamla Nagar
DLF Galleria 400
750 6
120 7
135 0.0
0.0% 0.0
0.0% King, Pantaloons and Madamme expanded their footprint
4 2 % % Rentals in main street locations dipped in select South Delhi
(Gurgaon)
Dwarka 450 7 8 5.9 5.9 in
malls during the quarter.
Sector 29 2 1 % % locations. South Extension and Greater Kailash I witnessed
Vikas Marg 190
200 30
3 334 0.0%
0.0 0.0%
0.0
(Gurgaon) rental values dipping by 6.7% and 13.6% respectively during the
2 6 % %
quarter due to increased availabilities and tepid demand.
Sector 18 (Noida) 225 36 41 0.0% 0.0%
However, rental values in Dwarka strengthened by 5.9% due to
Malls strong demand from branded retailers. Demand for space in
INR EURO US$ Q-O-Q Y-O-Y main street locations during the quarter continued to be mainly
SF/MTH SF/YR SF/YR from the apparel and F&B segments. Main street locations in
Change Change

South Delhi 500 80 90 0.0% 0.0% North Delhi, namely Kamla Nagar, witnessed take-up primarily
West Delhi 325 52 59 0.0% 0.0% from apparel brands. Main street locations of Lajpat Nagar,
Safdarjung Development Area (SDA) and Ghitorni in South Delhi
Gurgaon 375 60 68 0.0% 0.0%
also witnessed significant take-up of space during the quarter.
Noida 380 61 69 0.0 0.
% 0 While Lajpat Nagar and Ghitorni saw retailers primarily from the
Greater Noida 125 20 23 0.0 0. sportswear and footwear segment, SDA witnessed retailers from the
% 0
0.0 0. F&B segment such as Fat Lulus and Burger Singh, to name a few,
Ghaziabad 200 32 36
% 0
Note: Asking rent (INR/sf/month) on carpet area of ground floor Vanilla stores is quoted open stores during the quarter.
Conversion Rate: US$1= INR 66.5 and Euro 1 = INR 74.9
*Newly Added in 2015

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 MARKETBEAT
Retail Snapshot Q1 2016
DELHI-NCR, INDIA

SIGNIFICANT LEASING TRANSACTIONS Outlook

Significant new mall supply expected in the next quarter. Two malls, aggregating 1.5 million square feet, are scheduled to commence
Property Location Tenant Square
operations from the next quarter. Overall city vacancy levels are Feet
expected to increase owing to the significant addition.
Standalone Kamla Nagar Manyavar 2,0
SIGNIFICANT PROJECT UNDER CONSTRUCTION 00
Standalone Khan Market Tony & Guy 1,5 Rentals expected to remain stable across submarkets. With
Completion
00
Date stable demand, rentals across submarkets are expected to
Property Location Square
Feet Q4 2017 maintain status quo during the next quarter across malls and
Vegas Mall West Delhi 700,000 Q4 2016
main street locations.
Worldmark South Delhi 700,000

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Copyright 2016 Cushman & Wakefield. All rights reserved. The information contained within this report is gathered from multiple sources considered www.cushmanwakefield.com
to be reliable. The information may contain errors or omissions and is presented without any warranty or representations as to its accuracy.