Delhi-NCR retail leasing jumps 45% in Q1 as fashion and F&B demand accelerates

Delhi-NCR leased 0.59 million sq ft of retail space in Q1 2026, up from 0.41 million sq ft a year earlier. Malls accounted for 64% of activity, with the region contributing 30% of leasing across India’s top eight cities.

— Filed Thu, 20 Aug, 2026, 05:34 IST · First seen Thu, 20 Aug, 2026, 05:34 IST · Source Financial Express · BrandWagon

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 Q1 2026, from 0.41 million sq ft
  • Malls represented 64% of Delhi-NCR leasing; high streets represented 36%
  • Delhi-NCR held 30% of leasing across India’s top eight cities
  • Top-eight-city Q1 leasing fell 10% to 1.95 million sq ft from 2.17 million sq ft
  • Top-eight-city leasing totaled 9.21 million sq ft in calendar 2025

Why this matters

Accelerating fashion and F&B leasing in Delhi-NCR creates a favorable window to secure mall partnerships, acquire local concepts, or pursue expansion-led joint ventures.

What to watch

  • Quarterly Delhi-NCR net absorption and mall occupancy rates, especially whether leasing remains above 0.5 million sq ft.
  • Quoted versus transacted rents in prime malls in Gurgaon, Saket, Vasant Kunj and Noida.
  • Number of new mall completions, retail redevelopments and organized high-street projects entering the market over the next 12-24 months.
  • Store expansion guidance from Indian fashion, beauty, sportswear, international fast-fashion and F&B operators.
  • Mall tenant sales growth, footfall trends and retailer closure rates.
  • Consumer discretionary spending, urban employment growth and restaurant same-store sales in NCR.
  • Mall operators will reprice prime units at lease renewals and seek longer lock-ins from international fashion, athleisure, beauty and F&B tenants.
  • Retail chains will shift from broad NCR expansion to cluster-based rollout, using large malls for flagship stores and high streets for neighborhood convenience formats.
  • Landlords will invest more in food courts, entertainment, façade upgrades, parking and omnichannel fulfillment capabilities to defend footfall and increase tenant sales productivity.
  • Weaker malls may offer aggressive revenue-share structures, fit-out contributions and shorter leases to compete for the same fashion and restaurant pipeline.
  • High-street corridors near affluent residential and office clusters will see spillover demand as prime mall availability tightens.