The commercial real estate market in Delhi NCR is experiencing a significant upswing, particularly in the retail sector. The latest data from CBRE India’s ‘India Market Monitor Q1 2023’ report reveals a remarkable surge in leasing activity, signalling a promising retail revolution in the region.
“The leasing of retail spaces in Delhi NCR has witnessed a remarkable surge, indicating a strong revival in consumption and demonstrating the increasing ambition of retailers to expand their presence in the region. This surge is a testament to the growing confidence in the market, as retailers recognize the immense potential of Delhi NCR’s consumer base and its position as a thriving economic hub,” says Sanchit Bhutani, Managing Director, Group 108.
As per the CBRE report, the leasing of retail spaces more than doubled in the first quarter of 2023, reflecting a revival in consumption and the growing aspirations of retailers. The region’s booming economy, rising disposable incomes, and shifting consumer preferences have contributed to this surge.
“Delhi NCR’s strategic location, combined with its large consumer base and well-developed infrastructure, positions it as an attractive market for retailers and investors seeking to tap into the potential of the commercial real estate sector. The region’s dynamic economic environment and growing population provide a fertile ground for retail expansion and long-term business growth,” says Ajendra Singh, VP-Sales and Marketing, Spectrum Metro.
Despite Ahmadabad taking the lead in absorption, Delhi NCR holds a 26% share in leasing retail spaces. The region’s strategic location, vast consumer base, and robust infrastructure make it an attractive destination for retailers and investors. Emerging retail hotspots like Noida, Greater Noida (West), Yamuna Expressway, and Faridabad are witnessing rapid commercial development, offering prime opportunities for businesses to establish a presence.
With developers launching captivating mega structures as commercial centres, claimed as the tallest in the country, the future of Delhi NCR’s commercial real estate market looks spirited. Further, the report also indicates that retail supply in 2023 is expected to surpass the previous year, driven primarily by the addition of pent-up supply and several projects getting operational this year.
“Primary leasing is projected to be the main demand driver for retail space in 2023, further contributing to market growth. Retail supply is expected to surpass previous levels in 2023, fueled by the addition of pent-up supply and the launch of investment-grade projects. This presents an opportune moment for retailers and investors to capitalize on the burgeoning market. Primary leasing is anticipated to be the primary catalyst for retail space demand, further fueling market expansion,” stated Vikas Bhasin, Managing Director, Saya Group.
Innovation and technology are revolutionizing the retail sector, and Delhi NCR is at the forefront of this transformation. Retailers in Delhi NCR are leveraging these advancements to create immersive and personalized shopping experiences, blurring the lines between online and offline retail. This innovative approach attracts customers and creates new avenues for growth in the commercial real estate sector.
“Delhi NCR is witnessing a paradigm shift in retail as innovation and technology redefines the shopping experience. Newly developing regions also present an untapped potential for expansion. Niche markets are also emerging, catering to specific consumer needs and preferences. Moreover, the demand for experiential retail spaces is rising, offering businesses opportunities to create immersive and memorable shopping environments,” says Sanjay Sharma, Director of SKA group.
Delhi NCR’s commercial real estate market is witnessing an unprecedented surge, particularly in the retail sector, presenting immense opportunities for retailers and investors. It is reinforcing its position as a thriving hub for commercial real estate and establishing new benchmarks for retail experiences.