India’s Mall Expansion Picks Up Pace: Hyderabad and Delhi-NCR to Deliver 65% of 16.6 Million Sq Ft by 2026

India's retail real estate market is witnessing a robust revival, with over 16.6 million sq ft of new Grade A mall space projected to be added across the top seven cities by 2026. As per a recent report by Anarock, Hyderabad and Delhi-NCR are expected to lead this expansion, contributing nearly two-thirds of the fresh supply.

Consumer Demand Fuels Aggressive Mall Development

The renewed interest in mall construction has been largely attributed to rising consumer demand and a noticeable supply gap in organized retail. In 2022, the top seven cities saw the addition of just 2.6 million sq ft of retail space, while leasing volumes touched 3.2 million sq ft. This trend intensified in 2023, when leasing hit 6.5 million sq ft against a supply of 5.3 million sq ft. By 2024, leasing again reached 6.5 million sq ft, but fresh supply dipped to only 1.1 million sq ft—highlighting the growing demand for quality mall infrastructure.

Hyderabad and Delhi-NCR Take Center Stage

The bulk of the upcoming mall supply—approximately 65%—is expected to come from Hyderabad and Delhi-NCR. These cities are increasingly being seen as major consumption hubs due to factors such as rapid urbanization, an expanding middle class, and higher disposable incomes. Developers appear