Madrid is the capital of Spain, a dynamic and open city, and the largest retail market in southern Europe. The city draws on a large consumer base that is among the most affluent in the country. Madrid is the country's central hub for transport and communication networks, attracting high volumes of business travelers, while the city's beautiful architecture and vibrant culture attracts tourists.

Market Size and Growth Outlook

• Madrid stands out as Spain's premier retail market, with retail sales expected to hit €53.1 billion in 2025.

• The Madrid metropolitan area boasts a population of approximately 7.2 million accounting for almost 15% of Spain's total population.

• Madrid households are among the most affluent in Spain, with an average annual disposable income of close to €67,300.

• Retail sales are projected to grow at an average annual rate of 3.7% in nominal terms from 2025 to 2029, making Madrid one of the fastest-growing retail markets in Southern Europe.

• Tourism significantly boosts Madrid's retail sector. In 2024, the city hosted over 11.2 million visitors, generating over €16.1 billion in international spending. Luxury shoppers, comprising 2 million visitors, account for 30% of the city's total luxury spending.

• Prime retail rents in Madrid remain the highest in the city centre, with Calle de Preciados achieving €3,220 per sq m per annum in Q3 2025 — the highest in Spain.

   

The Madrid Retail City Profile unveils key insights to help you make informed decisions about your next retail location. Complete the form to access a detailed market outlook and digital maps featuring key retail destinations, international retailer presence, and notable store openings.