The retail real estate market in Delhi-NCR experienced a historic year in 2024, establishing itself as India’s leading retail investment destination. This remarkable growth was marked by record leasing volumes, lower vacancy rates, and increasing rental values. The market’s performance was supported by significant infrastructure developments, evolving consumer preferences, and strong confidence from developers.
CBRE’s India Retail Figures H1 2024 report revealed that retail leasing in India grew by 7% compared to the previous year, reaching 3.1 million square feet. Delhi-NCR, alongside Bengaluru and Chennai, led this expansion, showcasing resilience and adaptability. Within Delhi-NCR, Noida and Gurugram emerged as key contributors to this growth, benefiting from infrastructure projects like the Delhi-Mumbai Industrial Corridor, Dwarka Expressway, and the upcoming Jewar Airport. These developments enhanced connectivity, driving retail demand. Vacancy rates in premium malls across the region dropped to 8.3% in 2024 from 9% in 2023, highlighting strong demand for quality retail spaces. High streets, such as South Extension in Delhi, witnessed a surge in rentals for ground-floor spaces, ranging from ₹800 to ₹1,000 per square foot, a trend likely to continue due to limited new supply.
Industry leaders have noted the retail sector’s positive momentum. Ankit Sharma, VP-Leasing at Elan Group, highlighted the sector’s resilience and adaptability, driven by a 12% year-on-year growth in consumer spending. He emphasized the growing importance of immersive in-store experiences that blend physical and digital elements to meet evolving consumer preferences.
Noida and Gurugram have solidified their positions as retail powerhouses in Delhi-NCR. Noida has benefited significantly from the Noida Expressway and Jewar Airport, attracting developments like Paras Avenue 129 and Bhutani Grandthum, which cater to lifestyle and entertainment demands. Retail leasing in Noida surged by 12–15% in 2024. Gurugram also saw significant growth, with innovative mixed-use projects such as Elan Miracle and Elan Paradise redefining shopping experiences. Premium locations like Golf Course Road reported rentals exceeding ₹300 per square foot, further cementing Gurugram’s appeal to top-tier brands.
Kunal Rishi, COO of Paras Buildtech, acknowledged Noida’s transformation into a key growth driver in Delhi-NCR, attributing it to infrastructural advancements like the Jewar Airport and Noida Expressway. He expressed optimism about the city’s future, anticipating increased demand and further appreciation in property values as Jewar Airport nears completion.
According to a report by ANAROCK, 2024 saw a notable increase in land acquisition activity in Delhi-NCR, reflecting developers’ long-term confidence. The fiscal year recorded 29 land transactions covering 313 acres, with many investments driven by key infrastructure projects. Jewar Airport, in particular, has played a pivotal role in shaping Noida’s growth trajectory.
Looking ahead, Delhi-NCR is set to dominate India’s retail real estate market from 2024 to 2028, with over 27 million square feet of retail space planned. This accounts for 66% of the total anticipated retail development across major cities, underscoring the region’s importance. With rising consumer spending, strategic investments, and a strong pipeline of projects, Delhi-NCR is poised to remain at the forefront of India’s retail transformation and continue driving growth in the sector.
