India’s retail sector records 10.5% gross leasing surge in H1 2026, outpacing previous year despite supply constraints: JLL
Gross leasing grew 10.5% y-o-y to 6.27 million sq. ft. in H1 2026 from 5.68 million sq. ft. in H1 2025
City Air News
Aug 4, 2026 01:25
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Mumbai, August 4, 2026: India’s retail market has exhibited a resilient growth momentum amid multiple external factors that could have adversely impacted the demand trajectory. According to data shared by JLL today, the demand for retail spaces remained intact between January and June 2026, indicating the sector’s firm footing as it prepares for a new growth phase. The gross leasing volume in India’s top 7 markets in H1 2026 (January-June 2026) posted a total of 6.27 million sq. ft., a 10.5% Year-on-Year (y-o-y) growth over the H1 2025 total of 5.68 million sq. ft. This marks a significant milestone for the retail sector as H1 2026’s gross leasing activity is the highest half-yearly leasing volume recorded in the past four years.
“India's retail real estate sector is in the resilient growth phase, where demand is surging to record levels, reinforcing the sector’s position as a key driver in the economy. Despite global headwinds and sequential rise in retail inflation between January and June 2026, gross leasing volume across top 7 markets reached 6.27 million sq. ft. in H1 2026, the highest half-yearly leasing activity recorded in four years,” said Saket Amrit, Head-Retail Services, India, JLL.
“With the country’s total shopping mall stock now standing at approximately 92 million sq. ft. and consumer expectations rapidly evolving, developers and occupiers prioritizing quality over quantity and investing in next-generation assets that seamlessly integrate technology, convenience, and immersive, experience-led retail formats. The robust development pipeline of over 45 million sq. ft., expected by 2030, positions the sector for its next phase of sustainable, institutionally backed expansion, powered by strong domestic consumption, ambitious retailer expansion plans and an accelerating shift toward high-quality retail destinations that cater to India's increasingly discerning and affluent consumers," he added.
