Urban Highstreets Emerge as New Hotspots for Indian Luxury Retail

There is a quiet shift happening in India’s retail landscape. Once dominated by enclosed malls and air-conditioned showrooms, retail is slowly moving outdoors again. But this time, it is different. Highstreets, those familiar city stretches lined with cafes, boutiques and bookstores are getting a fresh identity. With a focus on curated design, personal experiences and easy access, for luxury brands, highstreets are no longer secondary to malls – they’re increasingly the preferred destination. Because they offer what most mall cannot – fresh air, culture and character.

According to industry reports, high streets accounted for about 45% of new luxury brand leases in India’s top cities by 2024, outperforming malls and standalone outlets. This is a big rise from earlier years.

Why Highstreets Now Appeal to Luxury Labels

Luxury retailers look for more than just space – they want presence, identity and storytelling platforms. Highstreets give them just that. Unlike malls where layouts are fixed and styles are shared; high streets allow brands to design spaces that express their unique identity. From immersive perfume-flaring trails to fashion ateliers that double as galleries – the freedom to design is what luxury thrives on.

Highstreets host sensory activations, live music, art pop-ups, and bespoke events – venues where a shop becomes a stage. This level of engagement aligns perfectly with how luxury consumers like to experience both product and brand.

Numbers Tell the Story

India's retail market is growing fast. It was valued at $779 billion in 2019 and is expected to touch $1.4 trillion by 2026. If current trends are extrapolated into the future, then by 2030, it is forecasted to cross $1.8 trillion. Within this space, luxury retail is growing sharper and more focused on select locations.

Highstreets have started to show better results than malls. Industry reports show rental yields on high streets delivering 2-4% higher returns than malls. More importantly, they offer flexibility – faster tenant onboarding, lower fit-out times, and simpler operating models.

For urban shoppers, high streets offer unforced convenience – walkable storefronts, natural daylight, and curated settings that feel like part of the city, not behind glass corridors.

Experience over Transactions

One of the big shifts in recent years has been in how people relate to brands. After the pandemic, buyers are no longer loyal just for price. They prize experiences over transactions. This is where high streets are winning. Experiential retail is now the keyword. Their open design enables live demos, sampling zones, walk-in styling sessions, and pop-up lounges.

These deliberate, slower-paced visits foster deeper connections with brands, making retail feel like leisure rather than a checklist. And luxury labels are picking up on this shift – using high street locations to create memories, not just sales.

 Green Thinking and Clean Design

Another reason for this shift is the growing need for cleaner, greener spaces. Highstreets are often easier to manage in terms of energy use. Many new projects now include solar lighting, green roofs and eco-friendly materials. Some even reuse old buildings, turning heritage shops into modern stores. For young, affluent buyers who care about the planet, this matters. A good shopping day is not just about buying a product, but feeling part of a story that supports better choices.

A Future Full of Possibilities

The retail map of India is evolving. It is moving away from tall glass buildings and returning to the street, where people walk, chat and look around. Highstreets offer the perfect balance. Premium vibes with a casual feel. They are open, human and full of life. As cities renew their streetscapes, these spaces will appeal not just for access, but as curated destinations.

Luxury won’t be defined by square footage – it’ll be defined by memory, place, and connection. And high streets are far better at delivering that than malls. As developers, we believe it’s time to reimagine where – and how – luxury lives in India’s cities.