India’s retail boom is expected to draw $3.5 billion in investments within three years, driven by rising consumer demand, limited Grade-A mall supply, and foreign brand expansion. In contrast, U.S. malls continue to struggle, with nearly 1,200 closures since 2020 and 40% of vacant malls undergoing rezoning or repurposing.
India’s retail landscape is defying global trends, with institutional investors and foreign brands flocking to the market. Anarock’s latest report highlights how strong consumption growth and undersupply of premium mall space are creating lucrative opportunities, positioning India as a global retail hotspot.
Notable Updates
• Investment surge: Over $3.5 billion expected in India’s retail sector by 2028.
• Consumer-driven growth: Rising incomes and demand for organized retail fuel expansion.
• Foreign brand entry: More than 80 international brands entered India between 2021–2025.
Major Takeaways
• High returns: Grade-A malls in India deliver 14–18% IRR, nearly double Western yields.
• Regional contrast: U.S. malls face 1,200 closures since 2020, with 40% repurposed.
• Investor confidence: Institutional capital increasingly shifts toward Indian retail assets.
Important Points
• India’s retail boom reflects structural resilience amid global slowdown.
• The sector’s growth is expected to reshape urban consumption hubs and create jobs.
• With Western malls struggling, India offers a unique investment opportunity for global capital.
Sources: The Hindu BusinessLine, Fortune India, News18, Economic Times, BusinessWorld