Nearly 20 premium malls to open in top 8 cities by 2026 on demand: C&W

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Nearly 20 premium shopping malls, comprising 123 lakh square feet of retail spaces, will become operational by 2026-end across eight major cities in the country to tap rising demand of retailers looking to expand business, according to Cushman & Wakefield.

On Tuesday, real estate consultant Cushman & Wakefield released its report 'Premiumisation of India's Retail Sector - Upscaling, Upgrading and Evolving', at MAPIC India Summit here.

The consultant noted that as many as 19 Grade A shopping malls covering 12.3 million (123 lakh) square feet of new retail space will become operational in 2025 and 2026 calendar years.

These eight cities are-- Delhi-NCR, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad.

Out of the 12.3 million square feet of new Grade A mall supply projected across 2025 and 2026, 8.6 million (86 lakh) square feet will be superior Grade (Grade A-plus), underscoring the sector's shift from scale to quality.

The superior-grade malls typically owned and operated by reputed developers or institutional investors are characterized by their high occupancy rates (more than 85 per cent), upscale tenant mix, and service-rich environments.

Saurabh Shatdal, Executive Managing Director, Capital Markets & Head, Retail India, Cushman & Wakefield, said, "India's retail landscape is evolving rapidly, and so are consumer aspirations. The rise of Superior Grade malls reflects a clear pivot from just scale to quality and experience. Today's consumers are seeking curated, design-led environments where the brand experience is as important as the product itself.

Shatdal noted that categories like beauty, wellness, F&B, and athleisure, known for high engagement and trading density, are shaping this next phase of retail.

"The response from developers and brands shows a deep shift in strategy: toward sophisticated, digitally integrated, and future-ready retail formats that truly resonate with the country's aspirational consumers," he added.

India's total Grade A mall stock stood at 61.5 million (615 lakh) sq ft in 2024, with superior Grade malls already comprising 63 per cent (38.9 million sq ft) of the total.