Delhi-NCR’s premium retail rents rise as leasing more than doubles, resurfacing a June 2026 report
Cushman & Wakefield data from June 2026 shows premium high-street rents in Delhi-NCR rose 2% to 10% year on year, while retail-space take-up increased to 0.67 million sq ft from 0.30 million sq ft. Malls accounted for 63% of leasing volume.
What happened
Cushman & Wakefield · Delhi-NCR premium retail rents increased 2-10% year-on-year in April-June 2026, led by South Extension and Khan Market. Retail leasing
Key facts
- Khan Market rents rose 9% YoY to Rs 1,700-1,800 per sq ft per month
- South Extension I & II rents rose 10% YoY to Rs 850-900 per sq ft per month
- Connaught Place Inner Circle rose 2% to Rs 1,250-1,300 per sq ft per month
- Galleria Market, Gurugram, rose 4% to Rs 1,250-1,350 per sq ft per month
- Delhi-NCR retail-space take-up more than doubled to 0.67 million sq ft from 0.30 million sq ft YoY
- Malls accounted for 63% of leasing volume; high streets accounted for 37%
Why this matters
Corporate-development teams should accelerate site partnerships or acquisitions around high-performing Delhi-NCR corridors, especially Khan Market and South Extension, before rising rents further increase entry costs.
What to watch
- Quarterly Delhi-NCR retail absorption and whether mall leasing continues to exceed high-street leasing.
- Vacancy rates and new premium mall supply in Gurgaon, Noida, and South Delhi.
- Further rent increases in Khan Market and South Extension versus tenant sales growth.
- Store-opening announcements from luxury, beauty, sportswear, jewelry, and premium F&B brands.
- Evidence of lease renewals at materially higher rents, reduced landlord incentives, or rising retailer closures in non-prime locations.
- Mall owners may reconfigure space toward larger flagship stores, premium F&B, beauty, entertainment, and omnichannel fulfilment-enabled formats.
- International and Indian premium brands are likely to prioritize Khan Market, South Extension, Gurgaon luxury clusters, and top-performing malls for new openings or relocations.
- Retailers may accept higher headline rents in exchange for turnover-linked leases, fit-out contributions, exclusivity clauses, and longer lock-ins.
- Secondary high streets and neighborhood malls may upgrade tenant mix and invest in façade, parking, and experience improvements to capture spillover demand.