Delhi-NCR retail leasing rose 45% in Q1, led by fashion and F&B demand, report resurfaces
Resurfacing a Q1 2026 report: Delhi-NCR retail leasing reached 0.59 million sq ft in Q1 2026, up from 0.41 million sq ft a year earlier. Malls accounted for 64% of leasing as quality space constraints persisted across India’s top eight cities, Cushman & Wakefield said.
What happened
Cushman & Wakefield · Delhi-NCR retail leasing rose 45% year-on-year to 0.59 million sq ft in Q1 2026, led by fashion and F&B demand. Malls took 64% of volume
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; high streets accounted for 36%
- Delhi-NCR represented 30% of retail leasing across the top eight cities
- Retail leasing across eight cities fell 10% to 1.95 million sq ft from 2.17 million sq ft
- Calendar 2025 leasing across eight cities was 9.21 million sq ft
Why this matters
Retailers seeking Delhi-NCR growth should prioritize early mall partnerships and selective acquisitions or joint ventures, as limited quality space may make organic expansion harder.
What to watch
- Quarterly Delhi-NCR mall vacancy, net absorption, and effective-rent growth.
- New grade-A mall and mixed-use retail completions versus announced delivery schedules.
- Fashion and F&B same-store sales, store-opening guidance, and retailer occupancy-cost ratios.
- Share of leasing by malls versus high streets and the average deal size.
- Consumer spending trends, discretionary-income growth, and food inflation pressures.
- Retailer closures, lease renegotiations, or rising discounting that could signal demand is outpacing store economics.
- Prioritize renewals and pre-leasing in top Delhi-NCR malls before rental resets intensify.
- Expand F&B and experiential tenant mix, which can lift dwell time and cross-shopping for fashion anchors.
- Underwrite new stores using occupancy-cost-to-sales thresholds rather than headline rent, especially in premium malls.
- Secure flexible lease clauses for fit-out periods, turnover-linked rent, exclusivity, and omnichannel fulfillment rights.
- Monitor pipeline projects for delivery risk; delayed supply would strengthen landlord pricing power.