Retail spaces in Bangalore sees high demand
The real estate sector in Bangalore witnesses demand from the retail segment with Foreign Direct Investment in retail. It is expected to see an increase demand for large format high street shops and for mall spaces in specific location across the city.
FDI in retail will play an important role to bring the retail sector on the path of much need growth. This will also have a positive impact on Bangalore real estate market as well.
Though the FDI has got approval to FDI in multi-brand retail, MNCs are adopting a wait and watch attitude to see the demand, with no major investment in the space, as the norm was released in the end of 2012. As more players have announced their entry in this segment, it is expected to give a boost to retail activity gradually. Though India is facing many difficulties because of the high inflation and lower economic growth but both national and international brands will expand their business which in turn will increase the prime rents.
In spite of retailers continuing their portfolio rationalisation, in 2013, property-specific and location-specific factors are expected to influence prices across several cities. In Bangalore, there was a blow up of mall’s in the Central Business District and Peripheral Business District.
The malls which are best performing are always in demand by retailers and are in a position to pick their tenants. Mall owners have options of improving the tenant as well as making strategic improvements to the centre. These kinds of strategies are mainly implemented either by the existing mall marketing manager or by professionals. This year the retail segment is going to expect the supply of nearly one million sq. ft of mall space mainly in Tumkur road, Thanisandra Road and Bannerghatta Road.
Click here for related forum discussion
Related Real Estate News:
Developers throw attractive offers to fill retail space
Retail mall space observes over 30% deferment, says report
Bangalore, Bangalore real estate market, Bannerghatta Road, central business district, Commercial real estate, Foreign Direct Investmet, Peripheral Business District, Retail market
