The retail real estate market in Delhi-NCR achieved a landmark year in 2024, driven by record leasing volumes, reduced vacancy rates, and rising rental values. This achievement, supported by strong developer confidence, significant infrastructure developments, and shifting consumer trends, solidified Delhi-NCR’s status as India’s premier retail investment destination. CBRE’s India Retail Figures H1 2024 reported that retail leasing in India increased by 7% compared to the previous year, totaling 3.1 million square feet, with Tier 1 cities such as Delhi-NCR, Bengaluru, and Chennai leading this expansion.
Within Delhi-NCR, Noida and Gurugram have emerged as key drivers, thanks to significant infrastructural developments like the Delhi-Mumbai Industrial Corridor, Dwarka Expressway, and the upcoming Jewar Airport, which have significantly enhanced connectivity and spurred retail demand. Notably, vacancy rates in premium malls across the region fell to 8.3% in 2024, down from 9% in 2023, reflecting strong demand for quality retail spaces. High streets such as South Extension in Delhi saw a notable surge in ground floor retail rentals, ranging from ₹800 to ₹1,000 per sq. ft. This upward trend is expected to continue due to constrained new supply.
Highlighting the retail sector’s growth trajectory, Ankit Sharma, VP-Leasing, Elan Group, said, “India’s retail sector has emerged stronger than ever in 2024, showcasing resilience, adaptability, and a clear focus on meeting evolving consumer preferences. CBRE’s India Retail Figures H1 2024 highlights a robust 7% year-on-year growth in retail leasing, reaching 3.1 million sq. ft. This surge was led by Tier 1 cities like Delhi-NCR, Bengaluru, and Chennai, while Tier 2 cities also saw rising activity as brands tapped into newer markets.”
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He further emphasized, “Adding to this positive momentum, consumer spending has grown by 12% year-on-year, reflecting a renewed confidence in the economy and the retail ecosystem. What’s even more encouraging is the way retailers are enhancing the in-store experience with immersive environments, blending physical and digital touchpoints. As we step into 2025, this sustained growth sets a promising tone for the industry, reaffirming its role as a key driver of India’s economic story.”
Noida and Gurugram continue to cement their positions as retail real estate powerhouses in Delhi-NCR. Gurugram, with projects like Elan Miracle and Elan Paradise, is redefining shopping experiences through innovative mixed-use developments, while premium locations like Golf Course Road have witnessed rentals surpass ₹300 per sq. ft. Similarly, Noida, bolstered by the Noida Expressway and Jewar Airport, is thriving with developments such as Paras Avenue 129 and Bhutani Grandthum, which cater to lifestyle and entertainment demands. Retail leasing in both cities surged by 12–15% in 2024, solidifying their appeal to brands and investors.
Kunal Rishi, COO, Paras Buildtech, commented, “Noida has emerged as a key growth driver in Delhi-NCR’s real estate sector, thanks to transformative infrastructural developments like the Noida Expressway and the upcoming Jewar Airport. These projects have significantly enhanced connectivity and positioned Noida as a preferred destination for both businesses and residents. The appreciation in property values we are witnessing today is a testament to the area’s strategic importance and long-term potential. As the Jewar Airport nears completion, we anticipate a further surge in demand, solidifying Noida’s reputation as a thriving investment and lifestyle hub.”
According to a report by ANAROCK, 2024 witnessed a surge in land acquisition activity in Delhi-NCR, highlighting long-term developer confidence in the region. In Q1 alone, 12 transactions accounted for 160 acres, while the fiscal year 2023-24 recorded a total of 29 land deals spanning 313 acres. Developers are leveraging key infrastructural advancements, with Jewar Airport emerging as a pivotal catalyst for Noida’s growth trajectory. Delhi-NCR’s retail real estate market continues to evolve into a high-demand ecosystem, driven by record leasing activity, rising consumer spending, and strategic investments.
Looking ahead, Delhi-NCR is set to dominate India’s retail real estate pipeline from 2024 to 2028, with over 27 million sq. ft. of retail space planned—representing 66% of the total anticipated retail development across major cities as stated in another Anarock report. The region’s robust mix of consumer demand, transformative infrastructure projects, and forward-thinking developer initiatives cements its status as India’s leading retail real estate destination.