New Delhi, 8 October: Institutional investment into Indian real estate reached $5.9 billion in the first three quarters of 2026 (January-September), up 39 per cent year‑on‑year and marked the strongest nine‑month total in recent years, a report said on October 8.
The report from Colliers India said domestic investors drove the rally, contributing $3.5 billion and accounting for close to 60 per cent of the total investments during the period.
Indian real estate has largely remained resilient to external volatilities, despite bleak global economic outlook and caution towards capital allocation in markets around the world.
A strong 59 per cent YoY surge in domestic capital inflows highlighted the depth and maturity of core real estate asset classes in India, the report noted.
Foreign investments rose 17 per cent to about $2.4 billion, with much of overseas money targeting developmental assets, driven by investors’ ongoing pursuit of long-term value creation in alternative, hospitality and mixed-use projects.
The report added that Q3 inflows stood at $1.4 billion, up 12 per cent year‑on‑year but down 51 per cent sequentially.
“In Q3 2026, domestic investors drove about $0.9 billion inflows, accounting for nearly two-thirds of the total investments. Local investors continue to prefer core assets, with residential & office segments collectively accounting for 46 per cent of the domestic capital allocation during the quarter,” said Badal Yagnik, Chief Executive Officer and Managing Director, Colliers India.
While residential investments were largely directed towards developmental projects, office investments were primarily focused on operational assets, Yagnik said.
