Big Businesses Eye Real Estate Growth, Challenging Established Players
Major Indian conglomerates are ramping up their real estate investments, driven by post-pandemic growth, regulatory reforms, and attractive returns. This influx is intensifying competition for traditional developers and reshaping the market.
Real EstateConglomeratesInvestmentMarket GrowthRegulatory ReformsReal Estate NewsNov 19, 2025
While Godrej and Tata had already been expanding their real estate vertical pan-India, business groups including Hero, Jindal, JK, Birla, Max, Mahindra, Bharti, and Adani have also started focusing more on real estate in the past three to four years.
Real estate firms such as DLF, Lodha, Prestige Group, and Sobha are now facing tougher competition from these businesses, which often have large land banks. “Competition is always good, both for the industry and for the homebuyer. India’s large business conglomerates bring with them an implicit layer of trust, strong governance, and access to lower-cost capital negotiated at a group level,” said Amit Goyal, managing director, India Sotheby’s International Realty. “Importantly, diversified groups tend to navigate market volatility better because they can lean on multiple business verticals during downturns.”
At the same time, pure-play developers have decades of deep expertise—from land acquisition and complex approval processes to delivering large-scale projects with consistency. The conglomerates want a pie of the growing real estate market. From less than a $1 trillion market currently, the sector is poised to scale up to $5–10 trillion by 2047, marking a significant contribution to India’s gross domestic product and equitable urban development, according to the Confederation of Indian Industry (CII) and Colliers.
“The entry of major conglomerates in the real estate sector is underpinned by enhanced regulatory clarity, favourable economic fundamentals of the country, and an opportunity to unlock value from their existing land holdings,” said Anshuman Magazine, chairman and CEO for India, Southeast Asia, Middle East, and Africa at CBRE. “The success of reforms like RERA (Real Estate Regulatory Authority) and digitisation made the sector more attractive for investors. Moreover, buyers are often willing to pay a premium for a home or office built by a trusted conglomerate.”
Jindal Realty, part of the OP Jindal Group, recently said that it planned to launch projects worth Rs 10,000 crore in the near future. Hero Group has expanded its real estate vertical and has made a few acquisitions in Gurgaon. Max Group has sharpened its focus on real estate and announced multiple projects in the past few years. Gujarat-based Shreeram Group, a manufacturer and exporter of industrial and edible salts, has entered the real estate sector with an investment of Rs 500 crore in Dalcore for the development of a luxury residential project in Gurgaon.
Moradabad-based Lohia Worldspace, the real estate arm of the Lohia Global Group, has raised Rs 50 crore from State Bank of India for its first real estate project and plans to expand the business. “Most of the large business groups have land banks in cities where they have a presence with other businesses. The majority of the profit from other companies goes into acquiring land. They now feel this is the right time to monetise that land,” said an industry expert, who did not wish to be identified.
According to Colliers and CII, as India sets its sights on becoming a $35–40 trillion economy by 2047—the centenary of its independence—real estate is poised to play a central role in shaping the vision of Viksit Bharat, a developed, inclusive, and future-ready nation.
Frequently Asked Questions
Why are major Indian conglomerates increasing their real estate investments?
Major Indian conglomerates are increasing their real estate investments due to post-pandemic growth, regulatory reforms, and the potential for strong returns. These factors make the real estate sector more attractive and stable for large investments.
What are some of the leading conglomerates expanding in the real estate sector?
Some of the leading conglomerates expanding in the real estate sector include Hero, Jindal, Birla, Max, Mahindra, Bharti, and Adani. These groups are leveraging their existing land banks and financial strengths to enter and grow in the market.
How are regulatory reforms impacting the real estate sector?
Regulatory reforms, such as the Real Estate Regulatory Authority (RERA) and digitisation, have increased transparency and trust in the real estate sector. These reforms make the sector more attractive for investors and buyers, leading to increased competition and growth.
What are the projected growth numbers for the Indian real estate market?
According to the Confederation of Indian Industry (CII) and Colliers, the Indian real estate market is projected to grow from less than $1 trillion currently to $5–10 trillion by 2047. This growth is expected to significantly contribute to India’s GDP and urban development.
What advantages do conglomerates have over traditional real estate developers?
Conglomerates have several advantages over traditional real estate developers, including implicit trust, strong governance, access to lower-cost capital, and the ability to navigate market volatility by leveraging multiple business verticals. These factors make them strong competitors in the real estate market.
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