Delhi-NCR retail leasing rises 45% in Q1 as fashion and F&B demand strengthens
Delhi-NCR retail leasing reached 0.59 million sq ft in Q1 2026, up from 0.41 million sq ft a year earlier. Malls captured 64% of demand, while the region accounted for 30% of leasing across India’s top eight cities; the eight-city total fell 10% amid limited quality supply.
What happened
Cushman & Wakefield · Delhi-NCR retail leasing climbed 45% in Q1 2026, led by fashion and F&B demand, with malls taking most space. Across eight major Indian
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
- Shopping malls accounted for 64% of Delhi-NCR leasing and high streets 36%
- Delhi-NCR held a 30% share of leasing across India’s top eight cities
- Eight-city Q1 2026 retail leasing fell 10% to 1.95 million sq ft from 2.17 million sq ft
- Eight-city retail leasing totalled 9.21 million sq ft in calendar 2025
Why this matters
The leasing surge creates a timely expansion window for fashion and F&B brands, with mall-led demand indicating that prime Delhi-NCR locations should be prioritized.
What to watch
- Q2 and Q3 Delhi-NCR net absorption versus the Q1 2026 run rate.
- Prime mall vacancy, quoted rents, tenant incentives and lease renewal uplifts.
- New mall completions, redevelopment launches and the share of leasable space delivered in Gurgaon, Noida and Delhi.
- Fashion, beauty, athleisure and F&B same-store sales trends in Delhi-NCR.
- Consumer discretionary-spend indicators, restaurant footfall, credit growth and premium-category transaction values.
- Whether Delhi-NCR retains an outsized share of top-eight-city leasing as national retail leasing recovers from its 10% decline.
- Prioritize mall pipeline opportunities in Gurgaon, Noida and affluent South/West Delhi catchments before prime inventory is absorbed.
- Secure flexible deal structures for new stores, including phased rent escalations, turnover-linked components and exit or relocation rights for unproven micro-markets.
- Use mall openings as omnichannel nodes by allocating back-of-house capacity for click-and-collect, returns and hyperlocal fulfillment.
- For F&B, favor cluster entry strategies that combine destination malls with nearby high-street delivery catchments to improve daypart utilization.
- Track competitor leasing announcements and anchor-store vacancies for opportunities to capture adjacency-driven traffic.