India’s retail real estate market recorded gross leasing volume of 2.22 MSF across the top eight cities in Q3 2026, according to Cushman & Wakefield’s Q3 Retail MarketBeat Report. Leasing declined 7.3 per cent quarter on quarter and 4.4 per cent year on year, although retailer demand remained broadly sustained. Year-to-date leasing reached 6.57 MSF, up 0.4 per cent year on year, while no new Grade A mall supply entered the market for the third consecutive quarter. Main streets accounted for 67.9 per cent of Q3 leasing, at 1.51 MSF, with volumes rising 29.3 per cent quarter on quarter and 33.1 per cent year on year. Mall leasing stood at 0.71 MSF, or 32.1 per cent of total activity, after declining 42.1 per cent quarter on quarter and 37.8 per cent year on year. Domestic retailers contributed 86.3 per cent of leasing, while international retailers accounted for the balance. Delhi NCR led city-level activity with 0.55 MSF, followed by Hyderabad at 0.45 MSF and Mumbai at 0.35 MSF. Together, the three markets accounted for 61 per cent of quarterly leasing. Hyderabad increased 22 per cent quarter on quarter and 18.3 per cent year on year, while Delhi NCR and Mumbai recorded declines on a quarterly basis. Fashion was the largest demand driver, accounting for 24.9 per cent of leasing, followed by food and beverage at 19.2 per cent and accessories and lifestyle at 13.1 per cent. Grade A mall vacancy fell 20 basis points quarter on quarter to 4.8 per cent from 5 per cent, while prime high-street rents increased an average 2.1 per cent quarter on quarter and 6.8 per cent year on year. The report projects around 12.7 MSF of Grade A mall supply through 2028, including 1.35 MSF in 2026. Delhi NCR is expected to lead the pipeline, followed by Bengaluru and Chennai. Cushman & Wakefield said the additional stock could expand retailers’ options, although location, quality, accessibility and differentiated consumer experiences would remain important in determining demand.