Ghost Malls in India

Ghost shopping malls are the place which once used to be shoppers paradise are now abandoned due to many reasons especially due to poor management and rise of A grade malls , these malls have become low performing malls, the shops are closing making it difficult to manage the finances. These finances are necessary for the maintenance of the mall.

In this article, we are going to explore why these ghost malls are on the rise in India and how to repurpose these abandoned spaces.

What’s ghost malls?
Ghost malls are under performing retail centers with vacancy rates more than 40%. Here the footfall is declining very fast the reasons can be like non attractive brands, ineffective management etc. These are some of the issues faced by these under performing malls.

Why are shoppers abandoning small malls?

The reasons are as follows:

• 1) Online shopping boom — Online shopping has had a huge impact on physical stores reducing footfall drastically. Thanks to e-commerce initiatives, traditional retail outlets are becoming less popular day by day.
• 2) Design and appeal– Small malls tend to suffer from poor design or low-tenant mix.A-Grade malls offers the best overall experience.
• 3) Competition – A-grade malls with more active management, stronger tenant mixes outshines the lower grade malls. So low-end supermarkets can’t hold customers.

How to repurpose a ghost shops:

• 1) Developers and investors— are exploring how they can utilize this plethora of malls.
  
• 2) Residential or Commercial Conversion — These malls can be converted into residential or commercial space, they can also be used as co-working space, apartments and offices.
  
• 3) Mixed use development — retail ,entertainment , residential components can be created and used as fitness centers, restaurants and housing.
  
• 4) Community space — reworking ghost shops into network hubs and cultural centers, institutes can be opened in these areas.

Therefore India’s Ghost shopping malls are untapped potentials. These department stores can be added again to life if we discover modern methods to reuse them and turn them into a thriving area that serves our community. These ghost malls are reminder to us , how fast changes are taking place.