Premium Mall Occupancy Reaches 90 Percent Amid Gen Z Dominance and F&B Trends

Jakarta’s retail sector in the first quarter of 2026 has undergone a significant shift, becoming a highly selective stage for curated lifestyle experiences. While physical supply growth remains scarce, international brand expansions are increasingly aggressive. In-depth analysis from three major property consultants—Cushman & Wakefield, Leads Property Services Indonesia, and Colliers International—reveals the strategies of stakeholders in navigating increasingly dynamic consumer behaviour. These consumers, particularly Gen Z with their distinct preferences, are now the primary drivers in shopping centres. South Jakarta remains the epicentre, highlighted by the presence of Pondok Indah Mall (PIM) 5. Although long-awaited, the fifth phase of this iconic Jakarta mall features a more limited leasable area compared to its predecessors, ranging from approximately 9,700 to 26,400 square metres. Senior Director of Research at Colliers International, Ferry Salanto, observes that this limitation reflects developers’ cautious approach. Rather than constructing massive new structures, property owners are leaning towards rejuvenation and renovation strategies for existing assets to restore malls to their former glory. Jakarta’s cumulative retail stock now stands at around 4.8 to 4.9 million square metres. For the remainder of 2026, the market anticipates only a few new openings, such as Lippo Mall East Side at Holland Village and Travoy Hub Phase 2, projected to add about 60,800 square metres. Meanwhile, occupancy data reveals a sharp divergence between premium malls and strata-title ones. Leads Property Services Indonesia reports a highly optimistic occupancy rate of 90.6 percent. However, Cushman & Wakefield records a more moderate figure of 77.6 percent, down 1.1 percent quarter-on-quarter.