Institutional investments in India’s real estate sector surged to USD 1.1 billion during the third quarter of 2024, reflecting a 45% increase compared to Q3 2023, according to Colliers. This brings total inflows for the first three quarters of 2024 to USD 4.7 billion, nearly matching the previous year’s figures.
The office segment led the charge, accounting for over half of the investments at 54%, while the residential sector contributed 33%. Domestic investments made up 44% of total inflows during the quarter, with Chennai and Mumbai together attracting 57% of the total.
The increase in institutional flows underscores growing confidence in the Indian economy, with significant interest from both domestic and foreign investors. Foreign investments in Q3 2024 reached USD 0.6 billion, more than doubling compared to the same period last year.
Chennai saw a remarkable rise, capturing USD 380.1 million in inflows, a 710% increase year-on-year. Meanwhile, Mumbai secured USD 277.6 million, representing a 41% increase.
Experts predict continued momentum in 2024, potentially surpassing 2023 levels, as investors focus on office, industrial, and residential assets amid favorable market conditions.
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