Mumbai's Linking Road, Delhi's CP India's most expensive retail streets

Mumbai's Linking Road and New Delhi's Connaught Place have emerged as India's most expensive retail streets .

Linking Road recorded rents of $1,548 per sq m a year, while Connaught Place recorded $1,444 per sq m a year for the third quarter of this year, according to a study by real estate consultancy firm Jones Lang Lasalle.

The prime south localities in both Mumbai and Delhi recorded 2.5 percent and 1.1 percent growth at $1,393 and $1,347 per sq m per annum, respectively, in rental during the third quarter of this year, compared with same period last year, said the Jones Lang Lasalle retail index report on Asia Pacific.

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[caption id="attachment_945253" align="alignleft" width="380"] Connaught Place. AFP[/caption]

While demand for retail space in the Indian cities of Mumbai and Delhi remains healthy, high street rents have stayed flat this quarter as economic uncertainty has seen retailers resisting rental increases, the report added.

Anuj Puri, Jones Lang LaSalle's Head of Retail Asia Pacific and Chairman & Country Head, Jones Lang LaSalle India, said, "As the economy in Asia Pacific continues to improve, retail is once again emerging as a preferred asset class for investors who see consumption as being closely aligned to the region's growth. China will witness the strongest growth in the retail markets of its top 50 cities, as Hong Kong continues to leverage its proximity to the mainland to fuel its own retail boom. Meanwhile, India still awaits the new FDI regulations to kick-start investment in the market."

Last month, a report by international consultancy firm Cushman & Wakefield had put Khan Market in Delhi as the the most expensive retail location with a monthly rental of Rs 1,250/sq ft a month. While Mumbai's Linking Road (Rs 750/sq ft a month) had emerged as the second most expensive retail location followed by Connaught Place and South Extension for the second quarter this year. (Read more here).