Khan Market Still India’s Costliest High Street Even as Global Rank Drops

Delhi’s Khan Market continues to hold its place as India's costliest high street, even as it slipped one spot in global rankings from 23rd to 24th this year. According to Cushman & Wakefield’s flagship retail report, Main Streets Across the World, the market has witnessed a 3% year-on-year increase in rentals, averaging around ₹22,000 per sq ft per year ($223 per sq ft).

Despite its global ranking drop, Khan Market remains the preferred choice for premium retail brands seeking visibility and strategic presence in India. Micro-level transactions reveal that rents in prime stretches of the market can exceed ₹2,200 per sq ft per month, depending on unit location, frontage, and positioning within the street.

Khan Market’s Global Ranking Update

This year, Khan Market slipped to 24th place globally, but it retains its title as India's costliest high street. The slight dip did not affect its strong rental growth, which continues to outpace many other high streets in the Asia Pacific region. Analysts highlight that the premium pricing in Khan Market is driven by limited supply, historical significance, and consistent demand from both international and domestic retailers.

Even within the market, micro-level variations exist. Prime units command significantly higher rents, reinforcing the market’s reputation as India’s top retail destination.

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Global Retail Streets Performance

Globally, London’s New Bond Street emerged as the world’s most expensive retail street, with rents rising 22% year-on-year to $2,231 per sq ft. Milan’s Via Montenapoleone ($2,179 psf/yr) and New York’s Upper Fifth Avenue ($2,000 psf/yr) followed closely behind.

Cushman & Wakefield’s report noted that 58% of tracked retail streets globally saw rent growth, reflecting strong demand exceeding available supply, particularly in luxury retail. These trends demonstrate how prime streets worldwide continue to attract premium brands seeking high visibility and consistent footfall.

Asia Pacific Trends and India’s Outperformance

While rental growth in the Asia Pacific region slowed to 2.1% in 2025 from 2.8% in 2024, Indian high streets bucked this trend. Tier 1 cities led the growth, with Gurugram’s Galleria Market seeing a 25% jump in rents, followed by Connaught Place (+14%) and Mumbai’s Kemps Corner (+10%). Across 16 tracked Indian locations, the average year-on-year rental growth stood at 6%.

At the other end, Chennai’s Anna Nagar 2nd Avenue remains APAC’s most affordable main street, highlighting the diversity in India’s retail landscape. Such contrast underlines the country’s capacity to cater to both premium and affordable retail markets.

Key Drivers of India’s High Street Growth

Several factors underpin the strong performance of India’s high streets:

• Rising affluence and increasing demand from luxury brands.
• Limited mall supply is pushing retailers toward strategic high street locations.
• Growth of experiential retail, fashion, F&B, and lifestyle outlets.
• High streets are evolving as visibility zones rather than purely transactional spaces.

These factors collectively contribute to the continued premiumisation of India’s retail sector, ensuring streets like Khan Market remain at the top.

Expert Insights from Cushman & Wakefield

Gautam Saraf, Executive Managing Director, Mumbai & New Business, Cushman & Wakefield, noted:

“India’s high streets are demonstrating exceptional resilience and growing global prominence. Premium destinations like Khan Market, Connaught Place, and Galleria Market are attracting international and domestic brands, driven by rising affluence and evolving consumer preferences.”

He added that high streets accounted for over 50% of retail leasing activity this year, reflecting their critical role in shaping India’s retail evolution. The broader trend of premiumisation and experiential retail positions India as one of the Asia Pacific’s most dynamic markets.

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Comparative Global Retail Snapshot

Globally, rental growth averaged 4.2%, with 58% of markets seeing increases. Regional highlights include:

• Americas: Highest growth at 7.9%, driven by currency effects in South America.
• Europe: Steady 4% YoY growth, with London and Budapest performing strongly.
• APAC: Overall growth slowed to 2.1%, though India, Japan, and South Korea showed strong performance.

In the Asia Pacific, Tokyo’s Ginza (+10%) and Omotesando (+13%) saw significant gains, while Hong Kong’s Tsim Sha Tsui declined by 6%. Sydney’s Pitt Street Mall returned to positive momentum, growing 4% after years of stagnation.

These trends underline the resilience of prime retail streets despite economic headwinds, with India standing out as a high-growth market in the region.

Conclusion

Despite a minor global ranking slip, Khan Market remains India’s costliest high street, maintaining its allure for premium brands and investors. Strong domestic demand, limited supply, and the ongoing trend of premiumisation continue to keep rental values elevated.

As India’s high streets evolve to blend retail, experiential spaces, and lifestyle offerings, locations like Khan Market, Connaught Place, and Gurugram’s Galleria Market are set to remain key destinations for both domestic and international retail players.

Looking ahead, the premiumisation trend is expected to continue through 2025–26, ensuring that India’s high streets remain among the most dynamic and valuable retail locations globally.