Hyatt Regency Delhi Retail Shop for Rent, Bhikaji Cama Place

A retail shop for rent in Hyatt Regency Delhi is not a shop in the ordinary sense, and treating it as one is how a tenant ends up comparing it with the wrong things. The retail here is the hotel's commercial arcade at lobby level, reachable from the main lobby, open around the clock every day of the year. What you are renting is access to the hotel's own guests.

The office rate is documented. The arcade rate is not.

This building's office space has a clear, well-corroborated rate:

Call it Rs 390 to Rs 450 per sq ft a month for offices here. That is among the highest office rents in Delhi and it is what a five-star hotel address on the Ring Road commands.

For the arcade, no rate is published anywhere we could reach. This page previously carried a figure of about Rs 348 per sq ft for the arcade, and we have removed it rather than repeat it, for a reason worth stating: Rs 348 would put lobby retail below office space in the same building, and that is backwards from how hotel arcades usually price. The arcade's entire value is captive guest footfall — people with money, time and nothing else to do between check-in and dinner. Space like that normally rents above the offices upstairs, not below them.

It may still be true. Hotels sometimes price arcade space softly to keep the right mix of tenants in the lobby, and a jeweller or a travel desk may be worth more to the hotel than the last rupee of rent. But an unusual number needs a source, and this one does not have one. Ask the hotel's commercial office directly, and ask what the rate includes — in a hotel arcade, power, air conditioning, cleaning and security are usually the hotel's, and the number quoted may be all-in where an office rate is not.

What the arcade actually offers

• Lobby level, reached from the main lobby. Not a street entrance, not a mall corridor. Your customers are the people already inside the building.
• Open 24 hours, 365 days. That is unusual and it is real — a hotel lobby does not shut. For the right trade it is a genuine advantage over any high street in Delhi.
• Space up to about 2,500 sq ft, and available at about half that as well, so a single small unit is possible.

The trades this suits are narrow and specific: jewellery, luxury accessories, a spa or salon, a travel or forex desk, a curated crafts or apparel boutique. The trades it does not suit are anything relying on passing street traffic or price-sensitive volume — nobody walks into a five-star lobby looking for a bargain.

The question to ask before the rate

How many guests, and who are they? A hotel arcade's economics are entirely downstream of the hotel's occupancy and its guest profile. A business hotel running at high occupancy on weekdays with corporate travellers gives you a very different customer from a leisure property full at weekends.

Ask for average occupancy through the year, the split between corporate and leisure guests, and the average length of stay. Then ask what the other arcade tenants trade in and how long they have been there. A lobby arcade with the same four tenants for eight years is telling you the model works; one with frequent turnover is telling you something else. Neither fact will be in a listing.

Where the building sits

The commercial tower forms part of the Hyatt Regency complex on the Ring Road at Bhikaji Cama Place, in south-west Delhi's established commercial district. One leasing source places it within about 1.5 km of a metro station. Bhikaji Cama Place itself is a long-standing office district rather than a new one, which is why office rents here sit at the level they do: the address is known, the Ring Road access is genuinely good, and the surrounding occupier base is deep.

What a tenant pays beyond the rent

• GST at 18 per cent on the rent, recoverable as input credit if you are registered and the supply qualifies.
• TDS at 10 per cent under Section 194-I, which you deduct once the annual rent crosses Rs 6 lakh. At any rate discussed here, it does.
• The deposit. Three to six months is the Delhi norm and premium buildings ask more. On 1,000 sq ft at Rs 400 that is Rs 12 lakh to Rs 24 lakh before you have fitted out anything.
• Escalation. Establish the percentage and the interval in writing, and prefer a fixed step to a market review at renewal.
• What is included. This is the one that differs most between an office lease and an arcade licence here, and it is the first question to settle.

Frequently asked questions

What is the rent for a retail shop in the Hyatt Regency Delhi arcade?

No arcade rate is published in any source we could reach, and we have removed the figure this page used to carry rather than repeat an unsourced number. Office space in the same building is well documented at Rs 390 to Rs 450 per sq ft a month, and a retail rate below that would be unusual for a hotel lobby, because captive guest footfall is normally worth more than office space upstairs. Ask the hotel's commercial office directly, and ask what the quoted rate includes.

What does office space cost in the Hyatt commercial tower?

Between Rs 390 and Rs 450 per sq ft a month. Individual listings give Rs 390 for premium space, Rs 395 on a 1,598 sq ft unit, Rs 400 on a 3,000 sq ft bare shell described as negotiable, and Rs 400 to Rs 450 for trophy-tier space with limited availability. That is among the highest office rents in Delhi.

Where is the retail arcade and when is it open?

At lobby level inside the hotel, reached from the main lobby, open 24 hours a day and 365 days a year. Space runs up to about 2,500 sq ft and is available at around half that too, so a single small unit is possible. There is no street entrance — your customers are the people already inside the building.

What kind of business works in a hotel arcade?

Narrow and specific trades: jewellery, luxury accessories, a spa or salon, a travel or forex desk, a curated boutique. What does not work is anything depending on passing street traffic or on price-sensitive volume, because nobody walks into a five-star lobby looking for a bargain. The customer is a guest with money and time between check-in and dinner.

What should I ask before taking arcade space?

Occupancy through the year, the split between corporate and leisure guests, and the average length of stay, because the arcade's economics are entirely downstream of those. Then what the existing arcade tenants trade in and how long they have been there — the same four tenants for eight years tells you the model works, frequent turnover tells you something else. And what the rate includes, since power, air conditioning, cleaning and security are usually the hotel's in an arcade and are not in an office lease.

Where is the building?

On the Ring Road at Bhikaji Cama Place, in south-west Delhi, as part of the Hyatt Regency complex; one leasing source places it within about 1.5 km of a metro station. Bhikaji Cama Place is a long-established office district rather than a new one, with deep occupier demand and good Ring Road access, which is why office rents here sit where they do.

Our view

The office side of this building is straightforward and expensive, and the rate is well enough documented that you can negotiate from it. The arcade is a different proposition and a much more interesting one — 24-hour access to a captive five-star guest base is something no high street in Delhi can offer — but it is not a market with published rates, and it should not be entered on an assumption. Get the occupancy figures and the inclusions in writing before you get to the rent.

In short: offices at Rs 390 to Rs 450 per sq ft a month, an arcade with no published rate at all, and a removed figure that would have made lobby retail cheaper than the offices above it.

For retail where the rate and the yield can be checked, see Emaar Colonnade in Sector 66. For an anchor-sized unit with a settled rent, the M2K anchor shop in Sector 51, and for office space at the other end of the price range, Omaxe Gurgaon Mall in Sector 49.