Synopsis: India’s retail sector is poised for a significant expansion. A report by JLL predicts a near 50% increase in retail space availability over the next five years, reaching a total of 134 million square feet by the end of 2028. This growth will be driven by the development of 88 new retail projects across major Indian cities.
The retail landscape in India is on the cusp of a major transformation. A recent report by JLL indicates a significant surge in retail space availability on the horizon. The report forecasts an almost 50% increase in retail space across the country by the end of 2028. This translates to a staggering addition of approximately 45 million square feet over the next five years.
This growth spurt will be fueled by the development of 88 new retail projects across prominent Indian cities. The report highlights that these projects will be concentrated in the top seven cities – Mumbai, Delhi NCR, Bengaluru, Hyderabad, Pune, Kolkata, and Chennai. Notably, this expansion is expected to surpass the total retail space added in the previous decade (2014-2023), which stood at around 38 million square feet.
Experts attribute this retail boom to several factors, including a growing Indian economy and a burgeoning middle class with rising disposable incomes. Additionally, the evolving consumer preferences for experiential shopping and modern retail formats are driving the demand for larger and more sophisticated retail spaces.
The report further suggests that Delhi NCR is projected to witness the highest share of the new retail space (43%), followed by Hyderabad (21%) and Chennai (13%). This trend indicates a potential shift in the retail landscape, with major northern and southern cities attracting significant investment in retail infrastructure.
JLL’s report highlights a promising future for India’s retail sector. The substantial increase in retail space presents exciting opportunities for retailers, both domestic and international, to cater to the evolving needs of Indian consumers. However, the success of these new projects will depend on their ability to adapt to changing consumer trends and offer a compelling shopping experience.
