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Khan market may be the most expensive real estate for retailers in India, but its rent is not even half of top global high street markets. In fact, with annual rent of Euro 2241, Khan Market commands nearly a tenth of world’s most pricey retail location - Milan’s Via Montenapoleone. Khan Market has ranked 22nd most expensive main street globally in Cushman & Wakefield’s report.
With rents at USD 229 per square foot annually (sf/annum) (Rs 19,330), Khan Market retains its position on the global list and continues to be India’s most expensive high street, registering a 7% year-on-year rental growth. “The limited availability of retail space in Khan Market creates intense competition, pushing rental values higher. With malls facing supply constraints, main streets across India are thriving, driven by robust demand and strong rental growth.
In 2024, main streets have recorded leasing of 3.8 msf, marking a 11% year-on-year growth,” said Saurabh Shatdal, managing director, capital markets and head-retail-India, Cushman & Wakefield. 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 the world’s most expensive retail destination, according to the report.
It is the first time a European street has topped the global rankings in the firm’s flagship retail report. Office Productivity Microsoft Word Mastery: From Beginner to Expert By - CA Raj K Agrawal, Chartered Accountant View Program Artificial Intelligence(AI) Mastering C++ Fundamentals with Generative AI: A Hands-On By - Metla Sudha Sekhar, IT Specialist and Developer View Program Astrology Vastu Shastra Course By - Sachenkumar Rai, Vastu Shashtri View Program Marketing Digital marketing - Wordpress Website Development By - Shraddha Somani, Digital Marketing Trainer, Consultant, Strategiest and Subject Matter expert View Program Artificial Intelligence(AI) AI-Powered Python Mastery with Tabnine: Boost Your Coding Skills By - Metla Sudha Sekhar, IT Specialist and Developer View Program Web Development Intermediate C++ Skills: Master Pointers, Structures and File Stream By - Metla Sudha Sekhar, IT Specialist and Developer View Program Web Development JavaScript Essentials: Unlock AI-Driven Insights with ChatGPT By - Metla Sudha Sekhar, IT Specialist and Developer View Program Web Development Intermediate Java Mastery: Method, Collections, and Beyond By - Metla Sudha Sekhar, IT Specialist and Developer View Program Web Development C++ Fundamentals for Absolute Beginners By - Metla Sudha Sekhar, IT Specialist and Developer View Program Web Development Advanced C++ Mastery: OOPs and Template Techniques By - Metla Sudha Sekhar, IT Specialist and Developer View Program Artificial Intelligence(AI) Generative AI for Dynamic Java Web Applications with ChatGPT By - Metla Sudha Sekhar, IT Specialist and Developer View Program Finance Financial Literacy i.e Lets Crack the Billionaire Code By - CA Rahul Gupta, CA with 10+ years of experience and Accounting Educator View Program Web Development A Comprehensive ASP.
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Competitive tension for limited space saw YOY 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%.
America was the strongest performer regionally at 8.5%, driven by rental growth of almost 11% in the US – more than double the 5.2% recorded last year – followed by Europe and Asia Pacific at 3.
5% and 3.1% respectively. Rents across the 138 locations are now on average nearly 6% above pre-pandemic levels.
Prime retail destinations have mostly successfully weathered the storm precipitated by interest rate hikes to curb inflation in 2022 and 2023, which led to a rapid increase in the cost of living, weak consumer sentiment and sluggish economic growth. Retail now stands to benefit from the gathering pace of interest rate cuts, economic recovery, easing cost of living pressures, and real wage increases. In the Asia-Pacific region, Delhi’s Khan Market climbed from 24th to 23rd position among the region's most expensive high streets, surpassing locations like Bangkok’s Central Retail District, Jakarta’s Prime Main Street, and Bonifacio in Manila.
Delhi-NCR now hosts India’s top three most expensive retail high streets. Alongside Khan Market, Connaught Place (Delhi) and Galleria Market (Gurgaon) also feature prominently in the APAC rankings, with rentals of USD 158 (Rs 13,335) and USD 156 (Rs 13,166) per square foot annually, respectively. Limited space addition has made these areas highly competitive and consequently more costly for brands seeking prime retail locations.
India has been the strongest major economy in the world this year, and Indiranagar 100 Feet Road in Bengaluru leads the region’s rental growth at 32% YOY. Rental growth across 16 tracked Indian locations averaged a 9% increase YOY, with notable growth recorded in locations like Pune’s MG Road, Fort/Fountain in Mumbai, and Park Street in Kolkata. Chennai’s Anna Nagar and Pondy Bazaar remain some of the region’s most affordable high streets, with rentals between USD 25-26 per square foot annually.
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