Doha, Qatar: Qatar’s total retail real estate supply held firm at 5.7 million square meters of Gross Leasable Area during the second quarter of 2026, according to ValuStrat.
The overall supply remained evenly split between 2.5 million square meters of organised retail space and 3.2 million square meters of unorganised retail. Both segments demonstrated stability over the period, with no significant retail completions recorded across the country.
Despite the absence of new commercial developments, active leasing and high-profile brand additions continued across key destinations.
High-end offerings expanded with luxury jewellery brand APM Monaco opening at Place Vendôme, beauty retailer XBeauty entering Msheireb Galleria, Em Sherif Deli setting up at The Gate Mall, and confectionery retailer Carpo joining Villagio Mall.
Existing operators also extended their footprints, marked by additions such as Jasper Café at UDC Oyster on The Pearl, Ajiattic at Doha Mall, and TEC Café within the Doha Design District.
The data showed that retail activity saw a noticeable recovery following a quiet first quarter, supported by strong consumer engagement during Eid Al-Adha promotions, the Amir Cup, Sneaker Con Doha, the Indian Mango Festival, the Qatar Outlet Exhibition, and the Doha Summer Trade
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However, this momentum experienced friction towards the end of the quarter as renewed regional geopolitical tensions raised fresh concerns regarding discretionary consumer spending heading into the summer.
Financial dynamics reflected mild downward pressure on organised retail space.
Median monthly shopping centre and mall rents declined by 1 percent both quarterly and annually to reach QR177 per square meter in second quarter of the year.
Meanwhile, street retail rents across Doha and outer municipalities remained flat quarter-on-quarter, though the broader street retail market logged a 4.2 percent annual decrease.
Specific Doha neighborhoods including Al Dafna, Al Muntazah, and Al Sadd saw yearly rental declines reaching up to 5 percent, whereas areas outside the capital generally held steady, save for quarter-on-quarter drops in Al Wakrah (3.8 percent) and Umm Salal Mohammed (1.8 percent).
Leasing momentum softened across the board during the quarter despite relatively stable headline figures.
Higher unit availability and a slower absorption rate prompted landlords to introduce longer grace periods and structured lease flexibilities to secure occupants.
Vacancies grew noticeably within hotel-based food and beverage spaces, particularly inside luxury properties.
Anum Hasan, leading the research team at ValuStrat, noted that while footfall rebounded behind trade and events, geopolitical uncertainty may continue to constrain retail spending and exert further pressure on rental rates in the near term.
The rents of malls declined 1 percent quarterly while street retail was unchanged, she said, adding, “Retail footfall improved following the first quarter as consumers gradually returned to promotions, holidays and leisure spending.”
