India Retail Figures H1 2026

Space take-up in India’s retail real estate market rose to ~3.9 million sq. ft. during January-June (H1) 2026, marking a 20% growth from H1 2025. This expansion was supported by ~2.0 million sq. ft. of leasing activity in Q2 2026 alone. Overall, leasing momentum remained resilient despite macroeconomic headwinds and supply-chain pressures faced by select retailers amid the ongoing Middle East conflict, reflecting sustained occupier confidence.

New supply of ~0.9 million sq. ft. was added during H1 2026, with Delhi-NCR accounting for the entire share in completions following the operationalisation of Felix Plaza and DLF Midtown Plaza earlier this year. 

During the half-yearly period, retailers continued to focus on strategic expansion, experiential formats, and consumer-centric offerings, which reinforced the demand for high-quality retail spaces and supported the sector's long-term growth trajectory.

 

Key market trends observed in CBRE Research’s India Retail Figures H1 2026 report include: 

• Delhi-NCR led retail space absorption, followed by Chennai and Mumbai; the three cities collectively accounted for ~66% of total leasing activity.
• Fashion & Apparel players remained the primary demand drivers, capturing a ~40% share of overall leasing. Food & Beverage (F&B) (~14% share) and entertainment (~9% share) segments also contributed significantly to space take-up during the period.
• Domestic retailers dominated leasing activity, accounting for over 70% of total take-up, led by fashion & apparel, F&B, entertainment, and jewellery brands.
• D2C players also emerged as a key growth driver, capturing ~28% of overall absorption.

 

The key retail trends outlined below are expected to shape the market in 2026:

 

 

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