Despite Robust Economy, Mall Vacancies Decline To 8.3%

Mumbai: Driven by the retail sector’s unprecedented growth amid favourable economic factors and rising affluence, mall vacancies in India are now at just 8.3 per cent, down from 15.5 per cent in 2021 as demand continually outstrips supply, according to a report on Monday. The first half of the current year mirrored the leasing momentum seen in the past two years, with over three million square feet leased across major cities. The next few years will witness major supply addition across all these cities, with the Delhi-NCR accounting for the majority, according to an Anarock report.

“Vacancy in prominent malls continues to be on the decline owing to limited supply and robust leasing. Superior malls across the country are operating almost full capacity,” said Anuj Kejriwal, CEO and MD–Retail, Industrial and Logistics, Anarock Group. Major national and global brands are keen to take up quality spaces in successful malls and high streets across cities. The apparel and accessories and food and beverages categories remain the dominant segments. However, exclusive stores for watches and jewellery have also witnessed remarkable growth during the year, accounting for nearly 6 per cent of the total retail leasing volume, the report mentioned.