Apple Inc. is set to broaden its footprint in Mumbai by establishing a new retail store in the upcoming Sky City Mall located in Borivali East. This strategic move underscores Apple’s commitment to enhancing its presence in the Indian market, following the successful launch of its flagship store in Bandra Kurla Complex (BKC) in April 2023.
Lease Agreement Details
The tech giant has secured a lease for a 12,616-square-foot retail space within Sky City Mall. The agreement, signed with Incline Realty, spans a duration of 10 years and 10 months. Notably, the initial 10 months are rent-free, providing Apple with a cost-effective entry into this burgeoning retail hub. Post the rent-free period, Apple will pay a minimum monthly rent of ₹17.35 lakh (approximately $21,000), calculated at a rate of ₹138 per square foot. Additionally, for the first 42 months, Apple will contribute a 2% quarterly revenue share, which will increase to 2.5% thereafter. This structure aligns with prevailing retail leasing norms in the region.
Sky City Mall: A New Retail Destination
Sky City Mall, developed by Oberoi Realty, is part of a 25-acre integrated real estate project in Borivali East. The mall boasts a gross leasable area of approximately 12.07 lakh square feet, equivalent to a leasable carpet area of around 7.24 lakh square feet. It officially opened to the public on March 15, 2025, and is expected to feature several luxury brands, positioning itself as a premier shopping destination in Mumbai.
Apple’s Retail Strategy in India
The establishment of a second store in Mumbai aligns with Apple’s broader retail strategy in India. The company has been focusing on expanding its physical presence to tap into the country’s growing consumer base. The Borivali store represents a significant step in reaching new consumer segments beyond high-end urban centers, targeting the rapidly developing suburban areas.
Manufacturing and Market Growth
Apple’s retail expansion complements its manufacturing investments in India. The company began assembling iPhones in the country in 2017 and has been progressively increasing production. Reports indicate that Apple’s existing stores contribute nearly 20% of the company’s total sales in India. With additional stores planned and manufacturing on the rise, Apple is reinforcing its commitment to the Indian market.
Conclusion
Apple’s decision to open a new store in Sky City Mall reflects its strategic intent to deepen its market penetration in India. By establishing a presence in Borivali East, Apple aims to cater to a broader consumer base, leveraging the mall’s status as a luxury shopping destination. This move is indicative of Apple’s long-term investment in India’s retail ecosystem and its dedication to providing an enhanced shopping experience for Indian consumers.
