Delhi-NCR retail leasing jumps 45% in Q1 as fashion and F&B fuel demand
Delhi-NCR leased 0.59 million sq ft of retail space in January-March 2026, up from 0.41 million sq ft a year earlier, according to Cushman & Wakefield. Malls accounted for 64% of activity, while leasing across the top eight cities fell 10% amid limited quality supply.
What happened
Cushman & Wakefield · Delhi-NCR retail leasing rose 45% in Q1 2026, led by fashion and F&B demand. Malls captured 64% of activity, while constrained quality
Key facts
- Delhi-NCR retail leasing rose 45% year-on-year to 0.59 million sq ft (nearly 6 lakh 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
- Calendar year 2025 leasing across eight cities was 9.21 million sq ft
Why this matters
Retailers seeking Delhi-NCR expansion should prioritize mall opportunities and move quickly on premium sites as fashion and F&B competition tightens availability.
What to watch
- Quarterly Delhi-NCR net absorption, vacancy and quoted rent changes in prime malls versus high streets.
- New mall completions, redevelopment openings and the pipeline of quality retail supply.
- Fashion and F&B same-store sales, store-opening guidance and lease renewal outcomes.
- National retail leasing data, since the 10% decline across top cities could signal broader demand caution.
- Consumer discretionary spending, food inflation, employment conditions and footfall trends during festive and wedding seasons.
- Fashion chains should lock in expansion sites in high-footfall malls before rent resets accelerate.
- F&B operators should prioritize formats with delivery capability and negotiate fit-out support, revenue-share structures and exclusivity clauses.
- Mall owners should convert leasing demand into tenant-mix upgrades, emphasizing experiential dining, beauty, athleisure and entertainment.
- Retailers with weaker store economics should avoid matching prime-mall rents and use smaller formats or adjacent high-street clusters instead.