The Lulu Group, which already operates five malls in Kochi, Thiruvananthapuram, Thrissur, Bengaluru, and Lucknow, plans to open up to 12 malls around India over the course of the next three years, totaling approximately 5 million square feet of development, its director announced on Saturday. According to the UAE-based group, malls would be built in Noida, Gurugram, Chennai, and Bengaluru. The 12 malls will open in the next three years in Calicut, Tirur, Perinthalmanna, Kottayam, and Palakkad in Kerala, as well as Noida, Varanasi, Prayagraj, Ahmedabad (in Uttar Pradesh), Hyderabad, Bengaluru, and Chennai, according to Shibu Philips, director of Lulu Group India.
“We are planning to set up 12 malls in the next three years. These would be in Calicut, Tirur, Perinthalmanna, Kottayam, Palakkad in Kerala and Noida, Varanasi, Prayagraj, Ahmedabad (in Uttar Pradesh), Hyderabad, Bengaluru and Chennai,” Shibu Phillips stated. He continued by saying that the total leasable area of the six malls that are currently available for lease will be 3 million square feet in three years.
“In the future, when we open all our 12 malls 5 in Kerala (where) we will add another 2 million sq ft leasable area (all half a million sq ft projects), 2 million sq ft in Ahmedabad and a million in Chennai, half million in Hyderabad totalling to 4.5 million sq ft and if Pragyaraj also comes along we would have added a total of around 5 million sq ft retail development in the next four years,” Philips said to Moneycontrol.
Shibu provided more information, stating that Uttar Pradesh is a significant market for Lulu Group. That the company is currently in the process of purchasing land in Prayagraj and Varanasi. Following this, the company may decide to look at Kanpur. “What format we consider for these markets (hypermarket or shopping malls model) will be a decision that the company board will take after considering the opportunities and potential in the market. This is still on the drawing board stage,” he stated.
The business has already spent Rs 2,000 crore on the Lucknow site. He continued and is also building a food processing facility in the state for which Rs 500 crore has already been set aside.
Additionally Philips said, that “Another Rs 2,000 crore are planned for expansion in Uttar Pradesh with respect to hypermarkets and malls”. The director stated that the retail property is still in the development stages and that the choice of location would be made depending on the market potential when speaking about the Noida shopping mall. “We are currently studying the market. If it is a full-fledged mall, it should be ready within three years and if it is a hypermarket, it should happen in a year’s time,” he stated.
According to the Lulu Group director, they have taken up space in a mall for a hypermarket for the retail centre in Gurugram. “This is under construction. This should be operational in about a year-and-a-half,” he stated.