Foreign Investor Confidence Rebounds as Institutional Real Estate Investments Surge 47% in Q1 2025

India’s real estate market recorded a 47% year-on-year growth in institutional investments in Q1 2025, with foreign investor participation jumping to 43% amid economic stability and infrastructure growth. The residential sector led with a 125% surge in investment value, according to Vestian Research.

India Defies Global Office Rental Slump, Posts Record Growth in Leasing

Despite a global slump in office rentals, India’s commercial real estate market recorded historic growth in 2024, with 70.7 million sq ft leased—its highest ever. Cities like Bengaluru, Hyderabad, and Pune posted double-digit rental growth, driven by robust demand from IT and Global Capability Centers (GCCs), positioning India as a standout performer in the global office space landscape.

Foreign Investors Dominate Institutional Investments in 2024, Co-Investments See a 61-Fold Surge

Institutional real estate investments in India surged to USD 6.8 billion in 2024, driven by foreign investors and a boom in co-investments. Residential and industrial sectors saw unprecedented growth, while commercial real estate faced challenges. Vestian predicts evolving opportunities despite global economic uncertainty.

Huge Upside Potential for REITs in India, INR 4.5 Lakh Cr Worth of Prime Office Stock Identified as REIT-Worthy

A new report from Vestian reveals that ₹4.5 lakh crore worth of Grade-A office space in India is REIT-worthy, offering substantial growth potential for the sector. Despite being in its early stages, India’s REIT market is growing rapidly, driven by high demand for office space, sustainability, and a favorable regulatory environment. The report also highlights key cities, including Bengaluru and Hyderabad, leading in REIT-worthy stock.