Delhi-NCR retail leasing jumps 45% in Q1 as fashion and F&B chase quality space
Retail leasing in Delhi-NCR rose to 0.59 million sq ft in January-March 2026, up from 0.41 million sq ft a year earlier. Malls accounted for 64% of deals, underscoring retailer demand for organised space despite a 10% decline across India’s top eight cities.
What happened
Delhi-NCR retail real estate market · 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. Malls
Key facts
- Delhi-NCR retail leasing rose 45% to 0.59 million sq ft in Q1 2026, from 0.41 million sq ft in Q1 2025
- Shopping malls accounted for 64% of Delhi-NCR leasing; high streets accounted for 36%
- Delhi-NCR held a 30% share of leasing across India’s top eight cities
- Top-eight-city leasing fell 10% to 1.95 million sq ft from 2.17 million sq ft
- Calendar 2025 leasing across eight cities was 9.21 million sq ft
Why this matters
The concentration of leasing in Delhi-NCR malls suggests acquisition, partnership and expansion targets with premium organised-space access may gain strategic value.
What to watch
- Q2 and Q3 Delhi-NCR net absorption versus the 0.59 million sq ft Q1 run rate.
- Mall vacancy, rental growth and lease-tenure data in Gurgaon, Noida, South Delhi and emerging mixed-use hubs.
- Share of F&B, fashion, beauty and entertainment in new lease signings.
- New mall completions, redevelopment announcements and delivery delays through 2026-27.
- Comparable leasing data from Mumbai, Bengaluru, Hyderabad and the broader top-eight-city market.
- Consumer discretionary spending, restaurant same-store sales and fashion retail sales in NCR.
- Prioritize Delhi-NCR mall assets with upcoming vacancies, strong F&B infrastructure and catchments in affluent residential and office corridors.
- Track fashion and F&B chains with announced NCR pipelines; expect them to seek larger flagship formats and multi-store cluster deals.
- Reprice prime retail leasing assumptions upward for quality organised assets, especially where vacancy is low and competing supply is limited.
- Prepare high-street and mixed-use leasing teams to capture overflow demand from brands priced out of dominant malls.
- Watch whether landlords convert smaller inline units into larger experiential, beauty or food-led formats to meet retailer requirements.