Ikea to close store at Mumbai's RCity mall by mid-2024

Ikea plans to consolidate its Mumbai operations at the Worli shop and discontinue operations at its RCity Mall at Ghatkopar by the middle of 2024. The global furniture retailer major cited viability issues with its small-format store.

Spread across 70,000 square feet, the Ikea store at RCity Mall was opened in 2022 and offers a limited selection of Ikea goods.

"In the RCITY store, we have not been able to provide customers the full IKEA experience due to limitations of the layout, design, and location," the company said on Thursday.

The Swedish furniture retailer has a big-format store in Navi Mumbai in addition to another small-format store at Worli.

"It further allows us to consolidate our Mumbai operations to IKEA Worli, IKEA Navi Mumbai and online presence while exploring newer opportunities for future growth. The focus on growing Mumbai remains robust as we explore newer omni-channel formats for the city, further develop the existing IKEA Navi Mumbai site into a retail destination, expand our physical presence in Pune.”

Apart from Mumbai, Ikea is also present in Hyderabad and Bengaluru with its big-format stores. It is also set to open stores in Delhi-NCR, including in Gurugram in various formats.

Ikea also added that it will ensure growth opportunities and a seamless transition for its employees at RCity Mall store.

“Taking care of our dedicated co-workers is our highest priority and we will lead with respect and compassion throughout the process. We are committed to supporting them with equal growth opportunities and a seamless transition and have them continue to be a part of the IKEA family."