Mumbai to see 1.4m sq ft of new retail stock between 2026 and 2029

All submarkets are expected to witness growth.

According to a JLL report, Mumbai’s brick-and-mortar retail market remains growth-oriented, with premium malls expanding their offerings by introducing new local and global brands to enhance the customer experience and push foot traffic.

“The retail sector is expected to see growth across all submarkets, driven by positive market sentiment. Approximately 1.40 million sq ft of supply is expected to become operational between 2026 and 2029, adding more premium stock.”

Here’s more from JLL:

Mumbai’s retail market experienced a q-o-q decrease in demand in Q2 2025, with no mall completions and tight vacancy in quality malls. Net absorption reached 0.17 million sq ft, with major leases recorded in the Prime South and Suburbs submarkets.

Most of the leasing activity was recorded in the Suburbs and Prime South submarkets. Some popular brands, like Dessange, Gap, Celio, Carlton London, Levi’s and Apple India, took up space across quality malls in the city during the quarter.

No new mall completions in Q2 2025

No new mall completions were recorded in Q2 2025, although 1.35 million sq ft of supply did commence operations in the previous quarter. No further supply is expected for the rest of 2025.

An additional 1.4 million sq ft of supply is projected to become available within the next four to five years.

Overall rents rise moderately q-o-q

Rents increased moderately in Q2, primarily driven by high occupancy and foot traffic in prime malls, along with recent new completions. This led to landlords adopting a firmer negotiation stance, with quality retail spaces commanding premium rates.

Rents and capital values increased q-o-q in all submarkets, notably in the Prime South and Prime North submarkets. This was driven by the strong performance of premium malls. Yields decreased slightly as capital values outpaced rent growth.