Blitz Bureau
NEW DELHI: Institutional investments in the Indian real estate sector are projected to soar to an estimated $10.4 billion across 77 transactions in 2025, marking the second consecutive year of record-breaking performance, a report showed on December 22. The figure stands as the highest on record and represents a 17 per cent increase from the previous year’s exceptional performance of $8.9 billion, according to the JLL report.
Beyond immediate transactions, 2025 witnessed significant platform commitments totalling $11.43 billion, designed for gradual deployment over the next 3-7 years.
“For the first time since 2014, domestic institutional investors have captured a commanding 52 per cent market share. Also, the two-fold increase in core asset acquisitions in 2025 demonstrates that investors are not just betting on India’s growth story, but are actively building long-term wealth through our stabilised, income-generating properties,” said Lata Pillai, Senior Managing Director and Head of Capital Markets, India, JLL. Indian REITs and Infrastructure Investment Trusts (InvITs) have emerged as the primary catalysts behind this transformation, deploying $2.5 billion — representing 56 per cent of core asset acquisitions.
Indian private equity players have contributed additional momentum, accounting for 30 per cent of total domestic capital deployment. While foreign institutional investment declined as a percentage of total activity, absolute foreign capital deployment increased 18 per cent year-over-year, demonstrating continued confidence in Indian real estate fundamentals. America-based investors showed particularly robust commitment, increasing their investment from $1.6 billion in 2024 to $2.6 billion in 2025 — a substantial 63 per cent year-over-year growth.