Hyderabad Clocks 55 Percent Growth in Retail Leasing, Tops Among 8 Cities: Q1 2025-26

Retail leasing across major Indian cities saw significant growth in the January-March quarter, with a 55% year-on-year increase and a 6% rise from the previous quarter. A total of 2.4 million sq ft was leased across eight major cities, with strong contributions from both malls and mainstreets.

Hyderabad led the leasing activity, accounting for 34% of the total volume, showing a 106% year-on-year growth. The city’s leasing success extended beyond well-established areas like HITEC City and Jubilee Hills to emerging locations such as Kothapet, Secunderabad, Boduppal, and Kompally.

Mumbai followed closely with 24% of the leasing volume, registering an impressive 259% year-on-year growth. New high street locations and additional mall space were key drivers of this growth. Delhi NCR secured 17% of the total leasing share, with a 57% increase from the previous year, driven by the demand from premium brands and entertainment sectors.

Mainstreets dominated with 1.69 million sq ft leased, accounting for two-thirds of total leasing activity, especially in cities like Delhi NCR, Mumbai, Bengaluru, and Hyderabad. Malls accounted for 0.72 million sq ft, with fashion and entertainment sectors leading in both mall and mainstreet leasing.

Foreign brands made up 8% of the leasing transactions, with domestic brands dominating at 92%. This indicates strong local retail expansion. Looking ahead, mall leasing is expected to continue its growth, with 6.4 million sq ft of new mall space forecasted to open by 2025, 58% of which will be Grade A+ properties.