Apple India Leases Store in Mumbai for ₹2 Cr Annual Rent: Report
In a significant development, Apple India is set to expand its presence in the Indian market by opening a second store in Mumbai’s Borivali area. According to a recent report, the tech giant has leased a 12,616 square feet retail space for a whopping ₹2.08 crore annually. This lease agreement has been signed for a period of 130 months, with a rent escalation of 15% every three years.
The agreement also includes a revenue-sharing clause, under which Apple will pay 2% of its revenue from the store for the first 42 months. This innovative approach to retail leasing is expected to benefit both Apple and the landlord, as it provides a more flexible and mutually beneficial arrangement.
The new store is expected to be a significant addition to Apple’s retail presence in India, which currently stands at one store in the upscale Omkar Heights mall in Powai, Mumbai. The Borivali store will be the company’s second venture in the city, offering customers a wider range of products and services.
The lease agreement is a testament to the growing demand for premium retail spaces in India, particularly in cities like Mumbai. The Borivali area is known for its high footfall and busy commercial activity, making it an attractive location for Apple to set up its second store in the city.
Apple’s decision to lease a store in Borivali is also seen as a strategic move to tap into the growing demand for its products in the region. The area is home to a large number of young professionals, students, and families who are likely to be interested in Apple’s premium products.
The revenue-sharing clause in the lease agreement is also an innovative approach that benefits both parties. By paying 2% of its revenue to the landlord for the first 42 months, Apple is essentially sharing its success with the landlord, who will benefit from the store’s performance. This approach can help to create a more collaborative and mutually beneficial relationship between the retailer and the landlord.
In recent years, Apple has been expanding its retail presence in India rapidly, with a focus on creating immersive brand experiences for customers. The company has been investing heavily in its retail infrastructure, including the launch of its first store in India in 2017.
Apple’s retail strategy in India is centered around creating a seamless and engaging customer experience that showcases its products and services. The company has been using a combination of online and offline channels to reach customers, including its website, social media, and retail stores.
The Borivali store is expected to be designed and curated to provide customers with a unique and engaging shopping experience. The store will feature a range of Apple products, including its latest iPhone models, Mac computers, and iPads. Customers can also expect to find a range of accessories, such as headphones, watches, and cases.
In addition to its retail offerings, the Borivali store will also feature a range of services, including Apple’s popular Genius Bar, where customers can get their products repaired or serviced. The store will also offer a range of workshops and training sessions, where customers can learn how to use Apple’s products and services.
In conclusion, Apple’s decision to lease a store in Borivali for ₹2 cr annual rent is a significant development in the company’s retail strategy in India. The lease agreement is expected to benefit both Apple and the landlord, and is a testament to the growing demand for premium retail spaces in India. The Borivali store is expected to be a significant addition to Apple’s retail presence in India, and will provide customers with a unique and engaging shopping experience.
