NewsOrders & DealsIKEA Expands Footprint: Secures Prime Retail Space in Pune's Phoenix Marketcity MallIKEA Expands Footprint: Secures Prime Retail Space in Pune's Phoenix Marketcity Mall
IKEA has signed a lease agreement for a 37,529 square feet retail space on the ground floor of Phoenix Marketcity mall in Viman Nagar, Pune. The lease, with Vamona Developers, is for 59 months with an initial monthly rent of Rs 38.00 lakh, increasing to Rs 42.70 lakh from the fourth year. This move marks IKEA's entry into Pune's market, expanding its presence in India beyond its current stores in Hyderabad, Navi Mumbai, Bengaluru, Indore, and Kolkata.
*this image is generated using AI for illustrative purposes only.
Swedish furniture giant IKEA is set to make its debut in Pune's bustling market, marking a significant expansion of its presence in India. The company has inked a lease agreement for a substantial retail space in the popular Phoenix Marketcity mall, located in the tech hub of Viman Nagar.
Lease Details
IKEA's strategic move into Pune involves leasing a spacious 37,529 square feet area on the ground floor of Phoenix Marketcity. Here are the key details of the agreement:
| Aspect | Details |
|---|---|
| Lessor | Vamona Developers |
| Lease Duration | 59 months |
| Space Leased | 37,529 sq ft |
| Location | Ground Floor, Phoenix Marketcity, Viman Nagar, Pune |
| Initial Monthly Rent | Rs 38.00 lakh |
| Rent from 4th Year | Rs 42.70 lakh |
Strategic Expansion
This lease agreement signifies IKEA's entry into Pune, a city known for its thriving IT industry and numerous global capability centers. The choice of location in Viman Nagar, a prime area with a high concentration of tech companies, appears to be a calculated move to tap into the city's growing urban consumer base.
IKEA's Indian Journey
IKEA's expansion in Pune is part of its broader strategy to establish a strong presence in the Indian market:
- Entered the Indian market with its first store in Hyderabad
- Current presence: Physical stores in Navi Mumbai, Bengaluru, Indore, and Kolkata
- Store formats: Mix of large-format stores and smaller retail spaces
The company's approach of utilizing various store formats, from expansive outlets to more compact spaces like the one in Pune, demonstrates its adaptability to different urban markets across India.
As IKEA continues to expand its footprint in India, this move into Pune represents another significant step in its mission to bring its signature Scandinavian design and affordable home furnishing solutions to a wider Indian audience. The strategic location and substantial investment in prime retail space underscore IKEA's commitment to growth in the Indian market.
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