Delhi-NCR retail leasing rise resurfaces: report from December 2024 projects 27 mn sq ft of new supply by 2028
Resurfacing a December 2024 report: Delhi-NCR retail real estate saw stronger 2024 leasing and rising rents, with premium-mall vacancy falling to 8.3%. Noida and Gurugram leasing grew 12-15%, while the region is projected to add more than 27 million sq ft of retail space from 2024 to 2028.
What happened
Delhi-NCR retail real estate market · Delhi-NCR retail real estate recorded strong 2024 leasing, declining premium-mall vacancy and higher rents. Noida and
Key facts
- India retail leasing rose 7% year-on-year to 3.1 million sq ft in H1 2024
- Premium mall vacancy fell to 8.3% in 2024 from 9% in 2023
- South Extension ground-floor rents reached ₹800-₹1,000 per sq ft
- Golf Course Road rents exceeded ₹300 per sq ft
- Noida and Gurugram retail leasing rose 12-15% in 2024
- Delhi-NCR is projected to add over 27 million sq ft of retail space during 2024-2028
- Delhi-NCR accounted for 66% of planned retail development across major cities
- Consumer spending grew 12% year-on-year
Why this matters
Delhi-NCR’s expanding retail footprint offers partnership and acquisition opportunities across mall, leasing and tenant-service ecosystems, with Noida and Gurugram emerging as priority markets.
What to watch
- Quarterly premium-mall vacancy and effective-rent movement, especially whether vacancy stays below 9%.
- Pre-commitment rates for projects scheduled for 2025-2028 delivery.
- Office leasing, residential possession volumes and metro/road connectivity improvements in Noida and Gurugram.
- International-brand entry announcements and anchor-store commitments.
- Retail sales growth versus new supply completions by micro-market.
- Increase in landlord incentives, revenue-share deals or lease-free periods, signaling weakening effective rents.
- Prioritize pre-leases in premium Noida and Gurugram malls before rents rise further.
- Use a hub-and-spoke format strategy: flagship stores in destination malls, smaller omnichannel stores near dense residential and office catchments.
- Negotiate phased rent escalations, co-investment in fit-outs and exit clauses for projects delivering after 2026.
- Track upcoming mall supply by micro-market to avoid exposure to clustered openings and cannibalization.
- Expect stronger demand for experiential, F&B, beauty, athleisure, value fashion and family-entertainment tenants as landlords differentiate new centers.