Sky high rentals slowing expansion
The sky rocketing rentals are causing several retailers to slow down on expansion plans. Mayur Toshniwal, vice president and business head for the northern region for Pantaloon Retail, says that the company’s plans for expansion to new cities is facing a lot of problems due to few good properties available at viable rental prices. Jones Lang LaSalle estimates that rentals in prime locations in metro cities in India were the fastest to rise in the Asia Pacific region. Delhi rentals increased by 40% from a year before and Hyderabad rentals increased by 76.5% over the previous year.
