The initial contours of Reliance Retail's massive plans and the format of the stores is emerging slowly from the company's ongoing consolidation of real estate.
Recently, the company purchased approximately 40,000 square feet on the ground floor of Star City Mall in Mayur Vihar, New Delhi. This will be the anchor store of the mall that is being developed by Mahatta Towers Pvt Ltd.
Industry sources indicated that Reliance would use this space for opening a large supermarket selling food, beverages, groceries and staples. This format would be similar to the company's very first store that is scheduled to open next month in Hyderabad.
The company has also planned hypermarkets - the 'all you want' kind of stores. For one such store alone, Reliance has leased at a shopping location being developed by Omaxe Constructions at Greater Noida. Omaxe boss Rohtas Goel said Reliance has leased 125,000 square feet at the site, but declined to reveal the financial details.
Sources added that Reliance Retail has purchased 200,000 square feet at Iskon Mall in Ahmedabad for a total cost of Rs 97 crore (Rs 970 million). The site will also be used for a hypermarket and is expected to be operational by January, 2007.
At Jamnagar, a location which is dominated by Reliance Industries, the retail operation has purchased 4-5 acres of land for a standalone store. In Rajkot, Reliance Retail has purchased 2.5 acres, at an estimated cost of Rs 20-25 crore (Rs 200-250 million).
Sources added that this is just the tip of the iceberg and many more such deals will be revealed in the coming days.
