Delhi-NCR retail leasing jumps 45% in Q1 as fashion and F&B demand strengthens
Delhi-NCR retail leasing rose 45% year-on-year to 0.59 million sq ft in Q1 2026, Cushman & Wakefield said. Malls accounted for 64% of activity, with fashion and F&B expansion driving demand despite a 10% decline in leasing across India’s top eight cities.
What happened
Cushman & Wakefield · Delhi-NCR retail leasing rose 45% in Q1 2026 to 0.59 million sq ft, led by fashion and F&B demand. Malls captured 64% of activity as
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 India’s top eight cities
- Top-eight-city leasing fell 10% to 1.95 million sq ft from 2.17 million sq ft
- Calendar-year 2025 leasing across eight cities totalled 9.21 million sq ft
Why this matters
Prioritize Delhi-NCR mall partnerships, anchor-space negotiations, and fashion/F&B tenant alliances while broader Indian retail leasing conditions remain uneven.
What to watch
- Q2 2026 Delhi-NCR net absorption, vacancy and prime-mall rent data
- Number of announced fashion, beauty, QSR and casual-dining store openings in Gurgaon, Noida and Delhi
- Lease renewal spreads and reported retailer occupancy-cost ratios
- New mall completions, redevelopment announcements and pre-leasing levels
- Whether leasing in the other top eight cities recovers from the reported 10% decline
- Consumer discretionary spending, restaurant same-store sales and footfall trends during the festive season
- Large fashion, beauty and F&B operators will increase Delhi-NCR store pipelines, with emphasis on flagship, experiential and food-led formats.
- Mall owners will pursue tenant upgrades, replace lower-productivity categories and seek higher revenue-share agreements at lease renewals.
- Retailers will use smaller-format stores, shop-in-shops and delivery-linked F&B outlets to preserve expansion momentum while limiting occupancy-cost exposure.
- Developers and investors will prioritize mall acquisitions, refurbishment and mixed-use retail projects in established catchments rather than speculative standalone retail supply.