With nearly three decades of experience, Anshuman Magazine has transformed CBRE India from a small team into a powerhouse of 16,000+ professionals, driving strategic growth across advisory & transaction services, asset services, capital markets, project management, and valuation
New Delhi: In the ever-evolving realm of commercial real estate, Anshuman Magazine, Chairman & CEO of CBRE India, South-East Asia, Middle East, and Africa, stands out as a transformative leader. Leading the world’s largest real estate services and investment firm, he has been instrumental in shaping the industry’s landscape across 19 countries, overseeing a vast network of over 50 offices and affiliates.
With nearly three decades of experience, Anshuman has transformed CBRE India from a small team into a powerhouse of 16,000+ professionals, driving strategic growth across advisory and transaction services, asset services, capital markets, project management, and valuation. A key figure in executing landmark real estate transactions, his leadership extends beyond business—serving on CBRE’s global Ethics and Compliance Ambassador Program advisory board, reinforcing corporate integrity and governance. His vision continues to redefine commercial real estate, setting new benchmarks in the industry.
In an exclusive interaction with IndiaRetailing.com, Anshuman Magazine, Chairman & CEO of CBRE India, South-East Asia, Middle East, and Africa talks about the current boom in the Indian real estate market, highlighting the economic factors and challenges.
Excerpts from the chat…
How do you perceive the current state of the retail real estate market in India?
India’s retail real estate market has been exhibiting resilience and forward momentum, driven by a consistent demand and shifting consumer preferences. India’s retail leasing crossed 5 mn. sq. ft. in 2024, reiterating the sector’s promising trajectory.
This growth is primarily driven by mid-range and value fashion brands catering to an expanding consumer base in urban and semi-urban markets. Propelled by the sustained demand for premium products and the robust spending capacity of the affluent consumer segment, luxury brands accounted for ~6% of the total retail leasing activity. Additionally, the rise of direct-to-consumer (D2C) brands has played a transformative role. Since 2016, over 600 new D2C brands have entered the Indian market, showcasing a hybrid retail model that blends physical and digital ecosystems to meet evolving consumer preferences.
Retail rental values have risen in Tier-I cities like Bengaluru, Delhi-NCR, and Mumbai, reflecting the increasing demand for high-quality spaces. These cities dominate retail space take-up, accounting for 60% of the total absorption, and remain central to the country’s retail activity. Furthermore, the nature of malls is evolving; they are becoming hubs for community engagement and immersive shopping experiences. With the integration of smart technologies and multi-functional spaces, malls are redefining the shopping experience to align with modern consumers’ expectations for convenience, entertainment, and connectivity. Growing demand from newer categories amidst limited space availability is likely to drive retail rental increments; the rise is expected to be divergent, with factors such as developer profile, location, and mall positioning playing a critical role in rental escalations.
Looking at the current trajectory, it is anticipated that the retail real estate market will tread on the path of continued growth, bolstered by consumer demand, urbanisation, and the increasing synergy between online and offline retail channels. This momentum signals not just recovery but a transformative shift in how retail spaces are conceptualised and utilised, catering to the diverse and dynamic needs of India’s retail landscape.
How has the retail real estate business changed over the years and how has CBRE adapted the strategies in response?
India’s retail real estate business has undergone a remarkable transformation over the years, shaped by dynamic shifts in consumer preferences, technological innovations, and the emergence of new retail models. What was once defined by traditional shopping spaces has evolved into a more vibrant and multifaceted ecosystem driven by the need to create meaningful customer experiences.
One of the most significant changes has been the move towards experiential retail, where spaces are no longer just about transactions but are designed to foster engagement and community interaction. This has involved integrating smart technologies and creating immersive environments that cater to the expectations of modern consumers seeking convenience, entertainment, and connectivity.
The rise of D2C brands has further reshaped the retail landscape, with many digital-first companies looking to establish a physical presence. To adapt, we have embraced flexible, omnichannel spaces that enable these brands to seamlessly blend their online and offline strategies. Similarly, the thriving luxury retail sector has driven the need for premium locations and bespoke environments to cater to the tastes of high-net-worth individuals. Furthermore, India’s D2C retailers continue exhibiting a growing inclination towards space absorption, emphasising personalisation and leveraging the ‘Made in India’ sentiment, fuelled by rising disposable incomes. The D2C market is expected to continue its growth trajectory as brands focus on increasing access and sales through social media, quick commerce, repeat purchases and better inventory management.
As consumer values evolve, sustainability has become a key focus. Incorporating eco-friendly practices and aligning with green building standards has met regulatory requirements and resonated with environmentally conscious consumers.
Looking ahead, the retail real estate sector will continue to evolve, and adaptability will remain crucial. By staying attuned to consumer trends and fostering innovation in design, technology, and functionality, we aim to remain at the forefront of this transformation, delivering spaces that redefine the retail experience and stand the test of time.
What are the major challenges that this segment is currently facing? Are there any regulatory or economic factors that you perceive as particularly challenging?
India’s retail real estate segment is in a good spot, and looking at the current market dynamism, it can be deduced that the entire sector is more aligned with optimism rather than challenges. Consumer spending in FY 2024-25 has remained resilient despite inflationary trends. Notwithstanding these fluctuations, consumer spending is expected to grow in the coming months, primarily driven by the anticipated surge in consumer sentiment.
A case in point is the retail sector’s promising growth trajectory with homegrown mid-range value fashion brands, D2C brands and the luxury segments driving the growth from the forefront. Despite a realignment in supply timelines, retail demand is expected to grow. Besides, growing demand from newer categories amidst limited space availability is likely to drive retail rental increments. Thus, this rise is expected to be divergent, with factors such as developer profile, location, and mall positioning playing a critical role in rental escalations.
What are CBRE India’s strategic priorities and goals for the coming years? How do you plan to capitalise on emerging opportunities in the retail real estate market?
At CBRE India, our people and clients are at the centre of everything, which defines our strategic priorities. As a global real estate advisory firm, we always focus on creating real estate solutions that meet the best standards, and this is what sets us apart. In the coming years we will be committed to this vision and the focus will be to create a benchmark in the realm of real estate. As we sail along, our focus will be to fully leverage innovation, sustainability, and emerging technology so that we can transform the country’s real estate landscape and create assets that are relevant and future-ready by focusing on asset-level data and data-driven decision-making, we aim to maximise the operational efficiency of retail spaces and drive long-term value for our clients.
Sustainability remains a cornerstone of our strategy. We are committed to helping our clients achieve their net-zero emissions goals by adopting flexible, innovative solutions that align with global sustainability standards. We will empower our teams to foster innovation, ensuring that retail spaces meet evolving regulatory requirements while promoting energy efficiency and reducing environmental impact. Furthermore, we are focused on helping clients manage their capital expenditures through longer-term planning, addressing inflation challenges, and ensuring a clear focus on return on investment (ROI). This includes securing funding, optimising site selection, and leveraging external data analytics to make informed decisions about portfolio expansion and retail space investments.
Retail real estate has been experiencing consolidation in the last few years. What is your opinion on this? How is retail real estate shaping up in tier 2 and beyond?
The consolidation witnessed in India’s retail real estate sector over recent years is a testament to the industry’s focus on efficiency, quality, and scalability. This trend is driven by larger players acquiring smaller ones to streamline operations and better meet the demand for premium retail experiences.
In parallel, the spotlight is shifting toward tier-2 cities and beyond, which are emerging as key growth areas for retail real estate. Factors such as rising disposable incomes, growing urbanisation, and changing consumer preferences are driving the demand for modern retail formats like malls, high streets, and mixed-use developments in these regions. Additionally, the aspirational and tech-savvy consumer base in these markets is attracting retailers looking to expand their footprint.
The growth in tier-2 cities reflects the vast untapped potential of these regions. Retailers are increasingly tailoring their strategies to cater to localised preferences while leveraging digital tools to enhance customer engagement.
Overall, consolidation in retail real estate is creating a stronger, more focused sector, while the expansion into tier-2 cities and beyond is diversifying the market and driving inclusive growth. Together, these trends are reshaping India’s retail landscape, offering opportunities for stakeholders across the value chain.
