Delhi-NCR retail leasing jumped 45% to 0.59m sq ft in Q1 2026, resurfacing a January report
Fashion and F&B demand lifted Delhi-NCR leasing, with malls accounting for 64% of activity, according to data first circulated in early January 2026. Across India’s top eight cities, Q1 leasing fell 10% as quality retail supply remained constrained.
What happened
Cushman & Wakefield · Delhi-NCR retail leasing rose 45% year-on-year to 0.59 million sq ft in Q1 2026, led by fashion and F&B demand. Mall leasing dominated
Key facts
- Delhi-NCR Q1 2026 retail leasing: 0.59 million sq ft (nearly 6 lakh sq ft)
- Delhi-NCR leasing year-on-year growth: 45%, from 0.41 million sq ft
- Shopping malls' share of Delhi-NCR leasing: 64%
- High streets' share of Delhi-NCR leasing: 36%
- Delhi-NCR share of top-eight-city leasing: 30%
- Top-eight-city Q1 2026 leasing: 1.95 million sq ft, down 10% from 2.17 million sq ft
- Top-eight-city calendar 2025 leasing: 9.21 million sq ft
Why this matters
Retailers and landlords should prioritize Delhi-NCR mall partnerships and high-quality space pipelines, where fashion and F&B demand is accelerating amid a national shortage of viable locations.
What to watch
- Quarterly Delhi-NCR net absorption and whether leasing remains above 0.5 million sq ft.
- Grade A mall vacancy, renewal spreads, and effective-rent growth in Gurugram, Noida, and South Delhi.
- New mall supply completions, redevelopment approvals, and delays in planned Grade A projects.
- Fashion, beauty, and F&B store-opening guidance from major domestic and international retailers.
- Comparable-store sales and discretionary consumption indicators, which determine retailers' ability to absorb higher occupancy costs.
- Whether retail leasing in the other top eight cities recovers from the reported 10% Q1 decline.
- Mall operators will pursue tenant remixing toward premium fashion, beauty, experiential retail, quick-service restaurants, and destination dining.
- Landlords will seek longer lease terms, higher revenue-share arrangements, and stronger escalation clauses from expanding brands.
- Retailers will accelerate Delhi-NCR flagship and omnichannel-format openings while selectively closing weaker secondary locations.
- Developers will advance redevelopment, mall extensions, and mixed-use retail components to capture unmet demand for quality space.
- Brands unable to secure mall space may increase focus on premium high streets, shop-in-shops, and transit-oriented retail clusters.