‘Retail biz at Metros, stns to rise 3-fold in 10 years’
With India heading towards an infrastructural makeover, transit retail is set to increase three-fold in the coming decade, a report released by international property consultants Knight Frank reveals. A new-age retail format, transit retail refers to various outlets found at transportation hubs like airports, metros, railway stations and buses. According to the study, Catch them Moving, transit retail opportunity is set to grow to ₹2160 crores by 2030 from ₹220 crore in 2019.
According to the study released on Tuesday, the highest growth will be seen in airports followed by metros and railways. It states that the New Delhi airport and Mumbai’s Chhatrapati Shivaji International Airport are already earning retail revenue more than the best-performing malls in the respective cities.
With close to 1000 km of metro network under-construction in India, the study estimated retail opportunity of ₹560 crores from metro stations by 2030, from ₹60 crores in 2019. “Such monetisation will reduce dependencies on passenger tariffs and develop the retail eco-system for a largely unexplored territory. This will also open a new revenue stream for future infrastructure developments,” the report states.
In Mumbai, the Mumbai Metro Rail Corporation (MMRC), which is executing the 33.5km fully underground Metro-3 (Colaba-Bandra-Seepz) has already invited expression of interest to lease out 1.5 lakh square feet of space for retail outlets. It is looking at generating a revenue of ₹25 crore annually by leasing station areas.