Delhi-NCR retail leasing rises 45% in Q1 as fashion and F&B demand strengthens
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, while the top eight cities saw leasing fall 10% amid limited quality supply.
What happened
Cushman & Wakefield · Delhi-NCR retail leasing rose 45% year-on-year to 0.59 million sq ft in Q1 2026, led by malls and fashion/F&B demand. India’s top eight
Key facts
- Delhi-NCR Q1 2026 retail leasing: 0.59 million sq ft, up 45% from 0.41 million sq ft year-on-year
- Shopping malls accounted for 64% of Delhi-NCR leasing; high streets 36%
- Delhi-NCR represented 30% of leasing across the top eight cities
- Top-eight-city Q1 2026 leasing: 1.95 million sq ft, down 10% from 2.17 million sq ft
- Top-eight-city calendar 2025 leasing: 9.21 million sq ft
Why this matters
For growth and partnership teams, Delhi-NCR’s active mall leasing market creates a timely opportunity to pursue landlord alliances, anchor-store deals, and complementary fashion or F&B concepts.
What to watch
- Quarterly Delhi-NCR net absorption, mall vacancy and achieved rentals versus headline asking rents.
- New mall and organized retail supply completions, particularly in Gurgaon, Noida and Dwarka.
- Share of leasing from fashion and F&B, plus average deal size and lease tenure.
- Retailer fit-out commencements, store-opening cadence and pre-commitment levels for upcoming projects.
- Consumer discretionary-spend indicators, restaurant same-store sales and fashion retailer sales growth.
- Whether leasing declines continue across the other top eight cities, increasing Delhi-NCR's relative pull for national expansion.
- Prioritize Delhi-NCR mall leasing teams, especially assets with available large-format units suitable for fashion anchors, experiential retail and F&B clusters.
- Lock in longer lease tenures and structured escalation clauses before prime-mall vacancy compresses further.
- Build a parallel high-street acquisition and leasing pipeline in Gurgaon, Noida and affluent Delhi micro-markets where prime mall inventory is unavailable.
- Increase tenant-mix allocation toward fashion, beauty, quick-service restaurants and casual dining, while preserving adjacency and common-area capacity for higher F&B traffic.
- Monitor competitor store-opening announcements for evidence that leasing is converting into actual fit-outs and openings rather than option-taking.