“Lulu Mall has expanded the realty market of Kochi”
Roy Thomas, General Manager, Valuation & Advisory Services, Colliers International India, talks that how Lulu Mall has disrupted the traditional realty market of Kochi.
Lulu Mall has expanded the realty market of Kochi. The traditional realty markets were located around MG Road , Bannerji Road, S.A Road, Vytilla. Since the launch of the mall, locations like like Edapally , Palarivattom , Vennala have gained prominence.
- Has the mall given impetus to allied realty asset classes like office spaces, residential, warehousing, etc.
The mall has led to development of residential complexes in the neighborhood. There has been a spurt of retail development on the Palarivattom Edapally bypass. On the other hand, office space development has spread across Kochi. Kakaknad has the biggest concentration of organized office space due to presence of Infopark.
- Tell us about the impact it had on the catchment and micromarkets in the region?
The launch of Lulu Mall has made Edapally, the shopping hub for not only Kochi, but also Kerala. Kochi’s location at the center of Kerala, makes it easily accessible from both northern and southern part of the state by road or rail. This has also led to development of tourism, hospitality and infrastructure within Kochi.
- Do you think Retail Real Estate has a potential of changing the entire realty landscape of a city?
Huge inflow of foreign remittances, increase in the spending capacity of the youngsters in the state due to boom in IT/ITeS industry are some of the growth drivers for success of Lulu Mall as people across the state have found an avenue for spending, which was otherwise going to the organized retail sector. In a city, like Kochi, the space constraints in the traditional locations like MG Road, Broadway Banerjee Road, which are fully developed has forced developers to look at other locations. For instance, Edapally along NH 47 and NH 17 has become a sought-after location for development.
- What kind of infrastructure growth can give impetus to the foreign companies to set up base in Indian tier-2 cities
Infrastructure requirements may vary depending on the type of industries. However, the basic infrastructure requirements will include connectivity via air, road, rail and sea. Availability of skilled manpower, and data connectivity will drive foreign companies to set up their base in the city.