Ingka Centers, part of the Ingka Group, which also includes IKEA Retail and Ingka Investments, is looking for land in the nation’s capital, preferably in areas like South Delhi and Dwarka, sources familiar with the matter said. This thread speaks to Moneycontrol.
However, the sources declined to disclose details of the land price provided by the Delhi Development Authority (DDA) to the Swedish retail giant. According to real estate experts, the price of licensed or sanctioned land in South Delhi and Dwarka areas will range between Rs 50 crore to Rs 75 crore per acre. A knowledgeable government official said the retail giant is looking for suitable 25-acre land, preferably in these areas.
According to sources in the authority, representatives of the Ingka Center approached DDA to obtain a large plot of land to open their store, but the discussions were unsuccessful. Undeterred, the retailer contacted DDA to find land for their store again.
“Previously they were looking for a large plot of land in Delhi but the price did not suit them. But recently, a delegation from IKEA met again with the highest authorities of the DDA and resumed negotiations on the purchase of land for their store,” the source told Moneycontrol. The source added that the DDA asked IKEA Group to first submit a detailed modification proposal in writing, but has yet to do so so the DDA will make a call once the proposal is submitted, the source said. When approached, IKEA said in a statement: “We are planning to expand our omni-channel presence in various markets in India, including the Delhi NCR (National Capital Region). , to bring our home furnishing solutions closer to greater volume. »
The group operates 482 IKEA stores in 31 countries and has opened small urban stores in Mumbai, Hyderabad, Bengaluru and Navi Mumbai in the early stages of the India project. In addition, IKEA has started delivering orders to Pune, Surat and Vadodara.
IKEA has announced that the mixed-use shopping mall in Gurugram will open by the end of 2025.
As reported by Moneycontrol, Ingka Center will also set up a shopping mall in Noida with an investment of Rs 5,500 crore. For its Noida mall, IKEA purchased a 48,000 square meter (approximately 11.86 acres) commercial site in Area 51 from the Noida government on February 19, 2021, for Rs 850 crore. The Ingka Group first entered India in 2018 with its first IKEA store in Hyderabad, then it opened two more flagship stores in Mumbai and Bengaluru, as well as two urban stores in Mumbai.
To expand its store presence, IKEA plans to open stores in Chennai and Pune. This strategic move is to meet the growing demand for IKEA products in various cities of India.
Currently, 30% of products available in IKEA India stores are locally sourced and the company is exploring the possibility of boosting exports. IKEA is also looking to develop India as an export platform for wooden furniture, allowing it to diversify its supply across the country.
