90 Retail Real Estate Properties acquire 450sqft in 7 major cities of India

India's real estate sector witnessed a major slowdown between 2016 to 2019. The major market shake-up brought on by policy reforms between 2016 and 2017 was followed by the NBFC crisis post the IL&FS issue in 2018. This caused considerable turmoil in the residential real estate industry.

According to a recent report published by JLL India, nearly 90 real estate properties which comprise nearly 450 sqft of space are expected come up by 2028 in seven major cities. The builders are expecting a sharp rise in demand for quality assets from the retailers. 

The real estate consultant also mentioned that, in the upcoming days the real estate developments will be larger in size compared to those that became operational in the last decade. 

Over the past ten years, the average size of new retail supply was about 3,91,099 square feet. However, this is expected to increase by 30% to reach 5,07,341 square feet with the addition of new supply during the April-June period of 2024-2028.

The realty consultant also said, "Larger developments incorporating entertainment, leisure activities, and dining options, are creating comprehensive destinations, that cater to the modern consumer."

The head of Office Leasing Advisory and Retail Services, India, JLL, Rahul Arora, mentioned, "The existing retail stock, which stands at 89 million sq ft, is expected to grow by 50%, and reach 134 million sq ft by end-2028. Delhi NCR, is expected to garner the highest share (43%), in the supply in the next five years, followed by Hyderabad, with a share of 21%, and Chennai having a share of 13%."

The data shows, the total stock of retail real estate, stood at around 89 million (890 lakh) sq ft, till March 2024. The elections may impact markets where investors are in majority and the speculative element is largely predominant.