Institutional Investments in Indian Real Estate hits $6.5 billion in 2024

According to a Colliers India report released on January 6, institutional investments in Indian real estate exceeded $6.5 billion in 2024, a notable 22% increase from the $5.4 billion inflows the year before.

With $2.5 billion in investments, the industrial and warehousing segment accounted for 39% of the total inflows. The office segment came in second, with a 36% share.

According to the report, in 2024, the office segment was surpassed by the industrial and warehousing segment, which held the largest share of total real estate investment volumes at 39%.

The residential segment saw significant growth as well, rising 46% from 2023 levels to $1.1 billion. All told, foreign inflows accounted for 66% of the $4.3 billion in real estate investments made each year, with domestic investments rising 27% year over year.

Ankur Jalan, CEO, Golden Growth Fund (GGF) stated that, “The Indian real estate across asset classes have witnessed strong demand in the last five years thereby attracting interest from both domestic and foreign institutional investors. With the government's policy interventions, India is becoming the centre of global investment, paving the way for further acceleration in real estate demand.”

Garvit Tiwari, Director & Co-Founder of InfraMantra added, “The real estate sector has given exceptional returns in the past five years. The buoyant demand that the sector has seen across asset classes and by a wide range of investors owing to multiple factors from growing aspirations to enhanced homeownership sentiments and infrastructure development, the institutional investment from both global and domestic investors will further see a spike in the coming years.”