Qatar’s retail market holds steady amid selective growth and pricing pressures

Doha, Qatar: Qatar s retail sector displayed cautious resilience in the first quarter of 2025, with new additions in both organised and unorganised se...

Doha, Qatar: Qatar’s retail sector displayed cautious resilience in the first quarter of 2025, with new additions in both organised and unorganised segments adding to supply while rental rates revealed a mixed trend across locations and formats.

According to a report by ValuStrat, organised retail space now accounts for 2.5 million sq m of gross leasable area (GLA), representing 45 percent of the nation’s total shopping area.

Speaking to The Peninsula, Anum Hassan, Head of Research at ValuStrat, said, “Retail leasing values held steady over the period, while the industrial segment showed encouraging signs of growth. Rents for ambient and cold storage facilities rose by 2.8 percent and 3.6 percent, respectively. Additionally, recent ministerial directives streamlining business set-up processes for foreign investors have resulted in a notable increase in commercial activity.

The retail landscape saw notable expansions in Q1, with Centro Mall contributing 2,500 sq m and the newly launched Outlet Village adding 30,000 sq m of retail GLA to the organised segment. Meanwhile, about 20,000 sq m of unorganised retail space was introduced, primarily in West Bay and Lusail Marina, reflecting continued commercial interest in these high-density zones.

“Outlet Village is particularly significant—it’s not just additional space, but a curated retail experience aimed at value-conscious and brand-hungry consumers,” noted Sara Khatib, an industry expert. “It represents a shift towards destination-driven shopping in Qatar.” Retail activity remained vibrant with new tenant entries and expansions in several malls. Centrepoint opened at Tawar Mall, and Doha Mall is still riding the momentum from its soft launch in late 2024 that welcomed 10 new Apparel Group stores. The Value Shop launched a second location at Abu Sidra Mall, while popular fast-food brand Raising Cane’s expanded with a second outlet at Doha Festival City. The mall also became home to Spanish footwear brand Alma en Pena, marking its first entry into the Qatari market.