Jaipur Properties Predominantly tradition in its outlook, Jaipur has witnessed in- roads by a variety of international and branded companies within the retail sector. MC Donald’s, Pizza hut, Shoppers stop, Cinepolis, Raymond and other prominent chains have already set up their operations in Jaipur. Though the economy of the city was based on handicrafts and household industries, with the growth of the service sector demand for organized retail along various business lines viz. Lifestyle, electronics, grocery and hyper- marts has increased. The rise in population and increasing tourist inflows also provides a platform for the city to be among the prominent consumer markets of the country.
Prime retail hubs of the city include MI Road, Railway Station Road, Bani Park, and Raja Park, JLN Marg, Bais Godaam, Malviya Nagar and the Walled city. JLN Marg and Malviya Nagar are emerging as preferred choices for retailers because of increasing residential population in the region and conglomeration of retail activity. The micro market observes large format prominent malls with rentals comparable to prime main streets such as MI Road and C-Scheme.
Jaipur has an existing and under construction organized retail supply of approximately 6.28 million sq ft. Majority of the organized commercial developments in the city comprise of a mix of retail and commercial office space. Further, the retail space in such set-ups is typically of a small-scale (1,00,000 sq ft.). Across majority of the small scale and integrated commercial developments, while the lower floors (ground and first floors) are occupied by retail operators, higher floors typically attract office space occupiers. Further, majority of the retail stock in the city is primarily Grade B Stock. However, various upcoming and recently completed retail developments in the city provide larger retail zones and better quality developments.
The pricing of retail space in Jaipur has observed marginal change over the past few years. While the prices in the retail sector had substantially increased between 2005 and 2008, the looming economic slowdown in the second half of 2008 had adversely affected the retail market sentimental in the past. The slowdown also increased vacancy levels in several malls. Due to the same, capital prices and rentals in the retail sector in the city have witnessed low movement. Over the past one-two years, the prices in the retail sector have primarily witnessed marginal growth in capital and rental prices in prime established and upcoming commercial hubs of the city.