Delhi-NCR retail leasing jumped 45% in Q1 2026, resurfacing a January report as fashion and F&B demand strengthened
Resurfacing data first reported around January 2026: Delhi-NCR retail leasing reached 0.59 million sq ft in January–March 2026, up from 0.41 million sq ft a year earlier. Malls accounted for 64% of activity, with fashion and food-and-beverage brands driving demand amid constrained quality supply.
What happened
Cushman & Wakefield · Delhi-NCR retail leasing rose 45% year-on-year in Q1 2026 to 0.59 million sq ft, led by fashion and F&B demand. Malls captured 64% of
Key facts
- Delhi-NCR retail leasing rose 45% year-on-year to 0.59 million sq ft in January-March 2026, from 0.41 million sq ft
- Shopping malls accounted for 64% of Delhi-NCR leasing
- High streets accounted for 36%
- Delhi-NCR represented 30% of leasing across the top eight cities
- Top-eight-city leasing fell 10% to 1.95 million sq ft from 2.17 million sq ft
- Top-eight-city retail leasing totalled 9.21 million sq ft in calendar 2025
Why this matters
Fashion and F&B demand is concentrating in mall formats, making targeted partnerships, acquisitions, or expansion deals with quality mall operators increasingly strategic.
What to watch
- Quarterly Delhi-NCR mall vacancy and effective-rent movement, especially in grade-A malls.
- Pre-commitments and upcoming retail supply completions over the next 12-24 months.
- Fashion and F&B leasing share versus categories such as beauty, electronics, entertainment, and grocery.
- Retailer same-store sales growth and store-level sales per square foot, which determine tolerance for higher rents.
- Consumer discretionary spending, dining-out frequency, and footfall trends during festive and wedding seasons.
- New mall openings, redevelopment approvals, and high-street supply in Gurugram and Noida.
- Prioritize lease renewals and pre-commitments at high-performing malls before vacancy compresses further.
- Underwrite new stores using higher rent, fit-out, and common-area-cost assumptions; require stronger sales-density thresholds.
- Use flexible store formats, kiosks, food courts, and shop-in-shops where full-size mall inventory is unavailable.
- Build a catchment-level pipeline across Gurugram, Noida, Greater Noida, and high-street alternatives rather than relying solely on prime malls.
- Negotiate revenue-share structures, phased rent escalations, exclusivity clauses, and co-investment in fit-outs to protect unit economics.