Retail leasing hits 2.24 million Sq. Ft.

New Delhi

India’s retail sector recorded a leasing volume of 2.24 million square feet (MSF) during April to June 2025 across top cities like Delhi-NCR, Hyderabad, Mumbai, Chennai, and Bengaluru, a new report by Cushman & Wakefield revealed on Thursday.

This figure aligns with the average leasing volume over the last year, though it reflects a slight dip — 5.4% quarter-on-quarter and 6.3% year-on-year.

Hyderabad led with 0.76 MSF leased, followed by Mumbai (0.52 MSF) and Delhi-NCR (0.3 MSF). These three cities made up over 70% of the total retail leasing activity. Other cities included Pune (0.23 MSF), Bengaluru (0.18 MSF), Chennai (0.16 MSF), Kolkata (0.05 MSF), and Ahmedabad (0.04 MSF). Mumbai and Pune showed the highest growth compared to the same period last year.

“India’s retail sector continues its strong momentum, with consistent demand for retail spaces,” said Suvishesh Valsan, Head of Research India, Cushman & Wakefield.

High streets remained the key driver, while Grade-A mall vacancies tightened, showing a shift toward premium and experience-based retail spaces.

For the first half of 2025, total retail leasing reached 4.61 MSF — a 17% rise from last year. Malls made up 45% of Q2 leasing, with 1.01 MSF — a 42% rise from the previous quarter.

Food & Beverage and Fashion brands led the demand across both malls and high streets, accounting for over 50% of total leasing in Q2. The trend shows retailers’ growing interest in premium locations and high consumer footfalls.