New Delhi, January 8 – Retail rental spaces in Delhi's upscale Khan Market saw an 8 per cent increase last year due to higher demand and limited supply, according to Cushman & Wakefield.
Data from real estate consultant Cushman & Wakefield showed that the monthly rent for major high-street locations across Delhi-NCR rose between 2 and 14 per cent in the last calendar year.
The monthly rent in Khan Market was between Rs 1,700 and Rs 1,800 per square foot during the October-December period of 2025, an 8 per cent increase year-on-year.
Khan Market is the most expensive high-street location in India.
In Connaught Place (Inner Circle), the monthly rent rose 4 per cent to Rs 1,150 – 1,250 per square foot.
Rental rates in Galleria Market (Gurugram) saw the highest 14 per cent growth, reaching Rs 1,150-1,250 per square foot per month. Monthly rentals in South Extension grew by 3 per cent to 800–850 per sq ft.
Rents in Kamla Nagar in Delhi rose by 11 per cent to Rs 480–510 per square foot per month. Greater Kailash-I, M Block, in Delhi, witnessed a 5 per cent increase to Rs 475–500 per square foot per month.
In Karol Bagh, Delhi, the monthly rent rose to Rs 395–415 per square foot. Rental rates in Lajpat Nagar, Delhi, stood at Rs 290 – 310 per square foot, up 3 per cent annually.
Rent in Rajouri Garden in Delhi increased by 6 per cent to Rs 255–265 per square foot. Rent in Punjabi Bagh, Delhi, increased by 2 per cent to Rs 260–275 per square feet per month.
Monthly rental growth in Noida's Sector 18 was 8 per cent, reaching Rs 200-220 per sq ft. In Gurugram's Sector 29, the monthly rent rose 3 per cent annually to Rs 180–190 per square feet during the October-December period of last year.
Cushman & Wakefield stated that the asking rent is based on the carpet area of ground-floor retail stores.
Gautam Saraf, Executive Managing Director, Mumbai and New Business, Cushman & Wakefield, said, "High streets across Delhi NCR recorded firm rental appreciation in 2025, with year-on-year growth ranging between 2–14 per cent, reflecting demand that continues to outpace the availability of quality space.
"Retailers across all product categories, particularly food and beverages (F&B) and fashion, are expanding their presence," he said.
Saraf noted that there is a growing preference among retailers for visibility-driven, high-consumption corridors with consistent footfall.
He mentioned that the rentals across key high-street locations continued to rise despite the completion of some malls in the December quarter.
On Khan Market, Saraf said it remains the country’s most expensive high street and recorded around 8 per cent year-on-year rental appreciation in 2025.
"Characterised by consistently strong demand and extremely tight vacancy, the Khan market continues to attract premium and luxury brands seeking sustained visibility, brand positioning and deeper engagement with affluent consumer segments," Saraf said.
Shriram PM Monga, Co-founder & Principal Consultant at SRED Real Estate Advisory, said these established markets offer high visibility, steady footfall, and a relevant brand mix that attracts habitual consumers.
"Markets like Galleria and Khan Market benefit from limited supply and established catchment areas with high spending power," he said.
With very few new retail developments coming up at prime locations, Monga said the demand from both domestic and global brands is pushing rentals upward.
"The strong comeback and expansion of F&B brands, including restaurants and cafés, along with lifestyle brands, is also accelerating rental growth, as these categories drive consistent footfall and enhance the overall appeal of high streets," he mentioned.
According to Cushman & Wakefield, the leasing of retail spaces in Delhi-NCR during 2025 stood at 2.25 million square feet – the highest since 2019 – registering 83 per cent growth as compared to the preceding year.
Mainstreets accounted for 55 per cent of annual leasing, while malls witnessed 45 per cent of total space take-up.