7 months ago
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Chennai’s retail marketplace maintained steadfast momentum successful the 3rd 4th of 2025, signaling a leasing measurement of 0.16 cardinal quadrate feet, an 8% twelvemonth connected twelvemonth growth.
Main streets dominated leasing enactment with an 88% share, signaling 0.14 cardinal quadrate feet of leasing - up 29% implicit the erstwhile quarter, according to information shared by Cushman & Wakefield, a existent property services steadfast arsenic portion of its Q3-2025 Retail Marketbeat Report.
The Off-CBD (Central Business District) sub-market led the leasing enactment with 29% share, followed by Suburban South (25%). Prominent precocious streets similar T. Nagar, Anna Nagar, ECR, and Purasawalkam—accounted for astir fractional of full demand.
Sector-wise, the nutrient and beverages (F&B) conception led with 24% share, followed by accessories and manner astatine 22%. Domestic brands continued to predominate leasing enactment successful Q3 with a 74% share, portion planetary brands strengthened their presence, capturing 26% - treble their stock compared to the aforesaid play successful 2024.
During the 4th Decathlon leased 20,000 sq ft astatine Pondy Bazaar, StyleUp took 12,000 sq ft abstraction connected the East Coast Road. Malls recorded a leasing measurement of 0.02 cardinal sq ft successful Q3, with the North-west sub-market accounting for 58% of the activity, followed by South-west astatine 23%.
In this peculiar quarter, request was led by F&B, Fashion and CDIT brands. Overall promenade vacancy declined marginally by 20 bps to 13.36% during the quarter. Superior people malls continued to grounds precocious occupancy levels, with vacancy remaining choky astatine astir 1-2%.
The study besides pointed retired that Grade A malls recorded a humble rental summation during the 3rd quarter, driven by constricted abstraction availability and dependable demand. Among main-streets, locations specified arsenic Anna Nagar 2nd Avenue, Pondy Bazaar, Usman Road (South), Velachery and Ambattur (MTH Road) recorded quarterly rental maturation successful the scope of 3-10%. Rental appreciation is expected successful cardinal main streets implicit the coming quarters, driven by sustained request from home brands.
