Delhi-NCR retail leasing jumps 45% in Q1 as fashion and F&B demand accelerates
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 leasing, while the region captured 30% of activity across India’s top eight cities, where overall leasing fell 10% amid limited quality supply.
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. Across
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 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
- 2025 retail leasing across the eight cities totalled 9.21 million sq ft
Why this matters
Accelerating demand for mall space creates an opportunity to prioritize partnerships, acquisitions, or development exposure in Delhi-NCR’s high-quality retail corridors.
What to watch
- Quarterly NCR net absorption and pre-commitment levels versus new mall completions
- Prime-mall effective rent growth, vacancy rates and renewal spreads
- Fashion and F&B same-store sales, new-store openings and closures
- Pipeline delivery timing for Delhi-NCR malls and mixed-use retail projects
- Whether leasing in other top-eight cities recovers from the 10% decline
- High-street leasing and rent growth as overflow demand shifts outside malls
- Mall owners should prioritize tenant-mix optimization, using fashion anchors and experiential F&B to lift dwell time and negotiate higher-quality renewals.
- Retailers should pre-commit to upcoming NCR projects and secure optionality on adjacent high-street sites before premium inventory tightens further.
- Developers should accelerate fit-outs, approvals and delivery of quality retail space, while avoiding undifferentiated malls that lack entertainment, dining and transit advantages.
- Consumer-facing brands should stress-test store economics against higher occupancy costs, especially for F&B concepts with thinner margins and larger fit-out requirements.