India Retail Leasing Sees 2.24 MSF Activity in Q2 2025; Malls Gain Traction as Vacancies Tighten

India’s retail sector leased 2.24 MSF in Q2 2025 with malls regaining ground and vacancy tightening due to limited new supply. Mumbai saw 1.6X YoY growth, while Hyderabad led the leasing charts. A fresh wave of mall completions is expected by year-end.

Retail Real Estate Booms in India: 169% YoY Growth in Q1 2025 Leasing Activity

India’s retail sector had a record-breaking start to 2025, with leasing activity soaring 169% year-on-year in Q1. Bengaluru and Hyderabad led the surge, accounting for 60% of leasing volumes. Fashion and domestic retailers dominated the space, while five new malls added 2 million sq. ft. of fresh supply—outpacing all of 2024. With 7 million sq. ft. more mall space expected in the coming quarters, retail real estate is on track for a landmark year.