According to Cushman & Wakefield (C&W), retail space leasing across malls and high streets in Delhi-NCR rose 78% year-on-year to 1.3 million sq. ft during January-June 2026. Fashion brands accounted for 28% of leasing during the period, followed by F&B at 16% and department stores at 12%. Mall leasing was up 100% year-on-year and high-street leasing was up 4%, suggesting retailers are balancing destination formats with broader neighbourhood presence.
Delhi continues to attract flagship formats and premium high-street occupiers, aided by established markets and dense spending catchments. Gurugram, which accounted for 45% of NCR’s Q2 leasing, remains the most active market because of its Grade A office base, affluent residential communities and growing demand for dining and leisure formats. Delhi followed closely with a 44% share, while Noida accounted for 11%.
Shyamrup Roy Choudhury, Founder and Managing Director, Aura World, said, “The current leasing momentum shows that brands are becoming more disciplined about their physical expansion. They are not choosing locations on visibility alone; they are examining the quality of the catchment, access, parking, frontage, tenant adjacencies and the ability of a destination to generate footfall across the day. Gurugram performs well on these parameters because it has a strong mix of office workers, affluent residents and leisure-led visitors. Locations such as Sohna, backed by robust infrastructure upgrades, improving connectivity and planned urban development continues to attract brands and investors' interest. However, the market is also more discerning now. Fashion, beauty, food and beverage, and lifestyle brands are especially focused on destinations where the experience is consistent and the consumer journey is convenient. The quality of execution will increasingly determine which projects attract and retain leading brands.”
Pankaj Jain, Founder and CMD, SPJ Group, added, “The strong growth in retail leasing across NCR reflects growing confidence among brands in the region’s consumption potential. Importantly, brands are now looking beyond the established high-visibility locations and exploring markets where there is already a strong and consistent consumer base. Old Gurugram is a good example of this opportunity. It is a mature and densely populated part of the city, surrounded by residential neighbourhoods, schools, offices and a steady flow of daily consumers. However, the area has historically lacked a well-integrated retail destination that brings shopping, dining and entertainment together. This presents a significant opportunity for organised retail. Instead of waiting for a new catchment to develop, brands can tap into an existing consumer base with established spending patterns. For Old Gurugram, successful retail will ultimately come down to convenience—easy access, ample parking, a strong mix of brands, comfortable spaces and entertainment for families. A well-planned retail destination can not only give consumers more reasons to shop locally, but also help retain spending within the local market and elevate the overall retail experience in Old Gurugram.”
Established brands are expanding their store network across NCR for better proximity to consumers. New local and international labels are entering physical retail to get attention and engage customers. At the same time, digital-first brands are opening stores as part of omnichannel strategies, using physical outlets for discovery, fulfilment and brand-building.
Jatin Goel, Executive Director, Omaxe Group, said, “The rise in retail leasing across Delhi-NCR is a reflection of how the region’s consumption story is becoming more geographically broad-based. Brand expansion is no longer centred only on established malls or traditional high streets. Retailers are studying where new residential catchments are maturing, where connectivity is improving and where consumers are beginning to spend more within their own neighbourhoods. This is particularly relevant for markets such as Faridabad and Greater Noida. In Faridabad, the opportunity lies in a large and evolving resident base that is increasingly looking for branded shopping, quality dining and family entertainment closer to home. The next phase of retail development in NCR will therefore be less about adding space and more about creating the right destination for each catchment. Well-curated projects, with an appropriate mix of fashion, F&B, leisure and daily-use brands, will be better placed to convert this latent demand into sustained footfall."
For NCR’s retail sector, the next phase of growth will depend on how effectively developers match the right format to each micro-market. This flight to quality is clearly visible in vacancy trends: Grade A mall vacancy stands tight at just 6%, compared with 13% in Grade B+ malls, highlighting a strong retailer preference for professionally managed, high-performing retail spaces.
