India's Retail Space Set for Major Expansion: Industry Experts Weigh In

A Cushman & Wakefield report forecasts that India's major cities will see an 18 million sq ft increase in retail space from 2024-27. Despite this, the projected supply will only meet one-third of the demand. Experts highlight the urgent need for more quality retail spaces to meet growing consumer expectations.

According to a Cushman & Wakefield (C&W) report, the supply of retail space in India's major cities is set to increase by 18 million sq ft from 2024 to 2027. This represents only one-third of the demand, highlighting a significant shortfall.

The report indicates that India's Retail Space Per Capita (RSPC) is far behind other South Asian nations such as Indonesia, the Philippines, Thailand, and Vietnam. With a current total retail space of around 60 million sq ft in top cities, approximately 55 million sq ft of new mall space will be required by 2027 to achieve comparable RSPC levels.

Industry experts, including Saurabh Shatdal of C&W, stress the critical need for addressing supply-side challenges to meet burgeoning consumer demand. The rising consumer confidence and increased discretionary spending underscore the importance of expanding quality retail spaces.

Pradeep Aggarwal of Signature Global notes growing demand for high-quality retail spaces in areas like Gurugram. Vineet Dawar of Elan Group and Uddhav Poddar of Bhumika Group also acknowledge the rapid evolution of India's retail landscape, particularly in tier-2 and tier-3 cities.

The report covers eight major cities: Delhi-NCR, Mumbai, Chennai, Kolkata, Pune, Bengaluru, Hyderabad, and Ahmedabad.

(With inputs from agencies.)