D2C brands took 28% of India retail leasing in H1 2026, resurfacing CBRE's mid-2026 report as offline expansion accelerates

Digital-first brands accounted for 28% of Indian retail leasing in H1 2026, up from 23% a year earlier, according to a CBRE report resurfacing from June 2026. Total leasing rose 20% year on year to 3.9 million sq ft, with fashion and apparel driving 69% of D2C space take-up.

— FiledWed, 29 Jul, 2026, 17:04 IST·First seen Wed, 29 Jul, 2026, 17:03 IST·Source ET Retail

What happened

India D2C brands · D2C brands increased their share of Indian retail leasing to 28% in H1 2026 as digital-first companies expanded offline. CBRE reported 20%

Key facts

  • D2C brands accounted for 28% of retail leasing in H1 2026, versus 23% a year earlier
  • Overall retail leasing rose 20% year-on-year to about 3.9 million sq ft in January-June 2026
  • April-June leasing was nearly 2 million sq ft
  • Delhi-NCR held 35% of leasing, Chennai 17%, and Mumbai 15%
  • Domestic retailers represented more than 70% of total leasing
  • Fashion and apparel made up 69% of D2C leasing; homeware and furnishings 12%; jewellery 7%

Why this matters

The offline land grab by D2C brands raises the strategic value of partnerships, acquisitions, and retail-platform capabilities that can speed store rollout and omnichannel execution.

What to watch

  • Quarterly retail leasing volumes and D2C share of take-up across Mumbai, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Pune, and Tier 2 cities.
  • Prime mall and high-street rental growth, vacancy rates, and landlord demands for minimum guarantees versus revenue-share leases.
  • Fashion and apparel D2C funding rounds, IPO activity, store-opening guidance, and disclosed offline revenue mix.
  • Same-store sales, store-level EBITDA, online return-rate trends, and customer acquisition cost changes for leading digital-first brands.
  • Growth in mall footfall, discretionary consumption, and adoption of click-and-collect or ship-from-store services.
  • Prioritize store formats that double as experience centers, return-drop points, and hyperlocal fulfillment nodes.
  • Negotiate shorter initial lease terms, revenue-share clauses, fit-out contributions, and break options before prime-space competition intensifies.
  • Use online customer density, return rates, and repeat-purchase data to sequence city and micro-market expansion rather than pursuing national visibility.
  • Expand through shop-in-shops, department-store concessions, and franchise partners in secondary cities to preserve capital.
  • Landlords will increasingly package omnichannel services, including click-and-collect space, shared warehousing, digital signage, and customer-data integrations.

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