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Doha, Qatar: Qatar’s retail real estate market remained broadly stable during the first quarter of 2026 (Q1) despite softer consumer activity toward the end of the period amid regional tensions and seasonal factors, noted ValuStrat in its latest data.
The report showed that total retail supply in Qatar stood at 5.7 million square metres of gross leasable area (GLA), with organised retail accounting for 2.5 million square metres and unorganised retail spaces comprising 3.2 million square metres.
Organised retail supply remained unchanged quarter-on-quarter, with no major additions recorded. However, approximately 6,250 square metres GLA entered the unorganised retail segment, primarily across Al Aziziyah and Fereej Al Soudan.
ValuStrat noted that retail activity expanded early in the quarter, supported by a series of major events and exhibitions held across the country. These included the Qatar International Food Festival, Doha Marathon by Ooredoo, Web Summit Qatar, and Match for Hope, all of which contributed to stronger consumer footfall and retail spending.
Several new international and regional retail brands also entered the market during the quarter. Supernova from London opened at Centro Mall, while Saudi Arabia’s Deraah Perfumes launched at City Center. Retail chain Flying Tiger expanded its presence with an additional outlet at Mall of Qatar, while French bakery and café brand Maison Kayser opened its first branch in Qatar at Doha Oasis.
Despite the positive start to the quarter, retail activity softened toward the end of Q1 as rising regional tensions and Ramadan-related seasonal factors impacted consumer sentiment and visitor traffic.
According to the report, several planned events were postponed amid the regional situation, leading to slower retail footfall and changing shopping behavior. Consumers increasingly shifted toward indoor shopping malls rather than open-air retail destinations during the period.
The report highlighted that shopping centre rents remained stable on a quarterly basis, with median monthly rents averaging QR178.8 per square metre. However, rents reflected a 2 percent decline compared to the same period last year.
Street retail rents within Doha fell 4 percent year-on-year during Q1 2026, while rents outside the capital declined 2 percent quarter-on-quarter and 5.2 percent annually.
Across most areas in Doha, street retail rents remained broadly stable on a quarterly basis, although annual declines of up to 5 percent were recorded in areas including Al Sadd, Dafna, Muntazah, and West Bay.
Outside Doha, rental performance was mixed as Umm Salal Mohammad recorded a 4.1 percent quarterly decline in street retail rents, while most other areas remained relatively stable. Overall, rents outside Doha declined by 1.9 percent compared to the previous quarter.
Commenting on market conditions, Anum Hassan, Head of Research at ValuStrat, said Qatar’s property market demonstrated resilience despite external pressures.
“Qatar’s real estate market remained largely stable through Q1 2026, demonstrating resilience despite regional uncertainty towards the quarter-end,” Hassan said.
“While geopolitical tensions and seasonal factors, including Ramadan and Eid, weighed on activity levels, overall market performance remained steady,” she added.
Industry analysts noted that Qatar’s retail market continues to benefit from strong infrastructure, growing tourism activity, and expanding consumer brands, particularly within major shopping malls and mixed-use destinations.
They mentioned that indoor retail destinations are likely to continue outperforming open-air concepts during periods of seasonal heat and regional uncertainty, while demand for experiential retail, dining, and entertainment offerings remains strong among consumers.
Analysts also expect retail activity to improve during the second half of 2026 as postponed events resume and consumer confidence strengthens alongside continued tourism and economic growth initiatives.
