This is probably the right time to understand the commercial value of those old, not-maintained and shabby buildings, and modify them to create a desired retail space.
Hindustan Times (HT) has recently decided to come up with luxury retail space in the ground floor of their office building at Kasturba Gandhi Marg in New Delhi. However, no brands have finalised space, while talks are on with foreign brands. Many other companies who have a considerable share of real estate in commercial areas are planning the same.
Speaking to Indiaretailing, Anuj Puri, chairman and country head, Jones Lang LaSalle Meghraj, said that unused or existing office spaces can be developed as retail destinations to solve retail real estate problems in India.
“HT is doing it and there are various other organisations in this country that have office spaces that are currently not being used. These companies should try and cash in on this by modifying their assets for retail,” said Puri.
According to Puri, this will also help in lowering operating cost of the outlets. “If this happens, the rentals go down, and operational costs at such commercial places will be minimal,” said Puri.
Moreover, according to Puri, apart from office buildings, there are numerous other real estate establishments that are either not in use or need renovation. “There are a lot of buildings that are established in main parts of the city, but are not being used. Real estate organisations can look forward to renovate and use them as an option for retail centres in the country,” said Puri.
– Satrajit Sen