From The Economic Times · Faizan Haidar · · 1m 10s
Grade A Mall Vacancy Drops to 5% in Top 7 Cities
Top 7 cities' Grade A mall vacancy falls to 5% in H1 2026, lowest in five years.
In brief
Top 7 cities' Grade A mall vacancy falls to 5% in H1 2026, lowest in five years. Grade A mall vacancy in top 7 cities dropped to 5% in H1 2026, the lowest in five years, driven by strong leasing demand in retail markets. Originally reported by The Economic Times.
Vacancy Rate Decline
Grade A mall vacancy across top 7 cities dropped to 5% in H1 2026.
Regional Variations
MMR and Delhi-NCR recorded 4% and 7% vacancy rates respectively by H1 2026.
Trend in Cities
Six of seven cities saw a 60 basis point quarterly decline in vacancy rates.
Chennai Anomaly
Chennai's vacancy edged up slightly while Grade A malls operated near full capacity.
Leasing Drivers
Fashion and apparel demand led leasing, with malls outperforming high streets in MMR.
NCR Supply Impact
NCR recorded highest vacancy at 7% despite new mall supply additions in Q2 2026.
Retail Expansion Challenges
Retailers face constraints in established markets due to high rentals and limited quality space.
The headline
Grade A mall vacancy in top 7 cities dropped to 5% in H1 2026, the lowest in five years, driven by strong leasing demand in retail markets.
