Retail leasing in Delhi-NCR jumps 25% as fashion, home brands expand

Retail real estate in Delhi-National Capital Region (NCR) is showing signs of recovery, with leasing activity picking up pace in H1 2025, according to property consultant Coldwell Banker Richard Ellis (CBRE). Demand for retail spaces in malls and high streets rose 25% between January and June 2025, supported by both fresh supply and increased retailer interest. Leasing touched around five lakh sq. ft. during this period, compared with four lakh sq. ft. in the same period last year. The rebound follows a slowdown in 2024, when total leased space fell to 10 lakh sq. ft. from 14 lakh sq. ft. in 2023. Approximately three lakh sq. ft. of new retail space entered the market in H1 2025, compared with no new supply in the corresponding period last year. Fashion and apparel brands accounted for 35% of leasing, homeware and departmental stores 30%, with the remainder taken up by food & beverage players and lifestyle retailers.

Industry leaders noted that retail leasing is increasingly focused on creating experiential destinations rather than simple transactions. Senior Vice President, Leasing at Elan Group, Mr. Ankit Sharma, said retail is now about connecting communities and elevating everyday life. Assistant Vice-President and Head Leasing at Trehan Iris, Mr. Gaurav Bansal, highlighted that rising footfalls and experience-led consumer preferences are driving expansion across prime and emerging markets. Chief Operating Officer at Pioneer Urban, Mr. Rakesh Bohra, added that Gurugram’s Grade A retail vacancies remain below 3%. Experts expect Delhi-NCR’s retail market to maintain steady growth in 2025, buoyed by new malls, rising consumer spending, and strong interest from domestic and international retailers.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.