Retail in India is shifting its focus from leased space to the time consumers spend in stores. Shoppers now seek dining, entertainment, and social interaction alongside traditional shopping experiences.
During the first half of 2026, leasing in India’s top seven cities increased by 10.5%, reaching 6.27 million square feet. Shopping malls accounted for 43.1% of this total, up from 38.9% in the same period in 2025.
Delhi NCR: A Key Market in Transition
Delhi NCR is emerging as a significant player in this retail transformation. The region recorded 0.67 million square feet of retail leasing in the second quarter of 2026, marking a 13% increase from the previous quarter and more than 1.2 times the volume from the same period the year before.
Malls were the primary drivers, contributing 63% of this leasing activity. Noida stood out, accounting for 20% of NCR’s total retail leasing in the first quarter of 2026, solidifying its role in the region’s organized retail expansion.
Noida’s Growth and Changing Consumer Behavior
Noida’s development as a commercial and consumption center has set the stage for this shift. As of September 2025, the city boasted 8.1 million square feet of mall inventory, with 30% classified as Grade A+.
In the first nine months of 2025, retail leasing in Noida reached nearly 0.37 million square feet. Fashion and food and beverage (F&B) sectors led the demand.
Today, a visit to a mall often involves multiple activities. Consumers might begin with a meal, browse through fashion stores, enjoy entertainment options, and conclude their visit at a café, all within the same complex.
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This evolution has shifted the focus in retail planning toward dwell time. The experience offered within a property now plays a key role in engaging customers and encouraging repeat visits.
Tenant Mix Reflects New Consumption Patterns
The tenant mix is adapting to reflect these changing consumer behaviors. In the second quarter of 2026, fashion represented 28.2% of retail leasing in India, F&B accounted for 17.2%, and entertainment made up 10.8%.
In NCR, F&B constituted 22% of annual leasing in 2025, while fashion and departmental stores contributed 21% and 14%, respectively. Leasing in F&B, entertainment, and consumer durables more than doubled compared to the previous year.
Digital-first companies are also influencing physical retail spaces. They introduce innovative experiments, enhanced customer service, and immersive experiences powered by AI and omnichannel technologies.
This approach is reshaping mall design, emphasizing strong catchment areas with curated retail, hospitality, entertainment, and public spaces. The result is an active atmosphere on both weekdays and weekends, enhancing the overall retail experience.
The Future of Malls: Experience-Driven Destinations
Noida has the opportunity to design more cohesive retail experiences. Premium restaurants and cafés can anchor evening activities, while entertainment options increase weekend footfall. Wellness, fitness, and lifestyle concepts can attract visitors throughout the week.