Indian Real Estate Attracts $80 Billion in Institutional Investments Over 15 Years
The Indian real estate sector has seen a significant influx of institutional investments, totaling nearly $80 billion over the past 15 years, with 57% coming from foreign investors. The sector is projected to grow to $5-10 trillion by 2047.
Real EstateInstitutional InvestmentsForeign InvestorsCredaiColliers IndiaReal EstateSep 11, 2025
The report, unveiled during CREDAI's annual event 'CREDAI NATCON', indicates that the sector has witnessed notable growth in institutional investments. The $80 billion investment includes contributions from various sources such as family offices, foreign corporate groups, foreign banks, proprietary books, pension funds, private equity, real estate fund-cum-developers, foreign-funded NBFCs, listed REITs, and sovereign wealth funds.
After the Covid-19 pandemic, the share of domestic capital has also seen a significant rise. CREDAI President Shekhar Patel emphasized the sector's potential to transform India's urban landscape, stating, 'By 2047, Indian real estate will not just be measured in square feet or asset values—it will be defined by the quality of life we create for millions of citizens.' He added that the sector is uniquely positioned to design climate-resilient cities, build affordable yet aspirational homes, and foster innovation and inclusivity.
Colliers India CEO Badal Yagnik echoed this sentiment, noting that supportive policies, rising demand, and increased investor interest are driving the sector's growth. He projected that Indian real estate could reach a market size of $5-10 trillion by 2047. Yagnik highlighted the growth potential of various asset classes, including Grade A office and industrial stock, both of which are expected to surpass the 2 billion square feet mark by 2047. Residential sales are projected to double to 1 million units annually.
The report also noted the increasing demand for data centers, senior living facilities, retail malls, and hotels, driven by diverse demographic needs. Yagnik concluded, 'Overall, the Indian real estate sector is set to remain a vital catalyst for inclusive urbanisation and sustainable community development as the nation advances toward global economic leadership.'
The collaboration between CREDAI and Colliers underscores the sector's strategic importance and its role in shaping India's economic and social future. With such robust investment and growth projections, the Indian real estate sector is poised to play a crucial role in the country's development over the next few decades.
Frequently Asked Questions
What is the total amount of institutional investments in Indian real estate over the past 15 years?
The total amount of institutional investments in Indian real estate over the past 15 years is nearly $80 billion.
What percentage of these investments comes from foreign investors?
57% of the institutional investments in Indian real estate come from foreign investors.
What is the projected market size of Indian real estate by 2047?
The projected market size of Indian real estate by 2047 is $5-10 trillion.
What are the key asset classes expected to grow in the Indian real estate sector?
Key asset classes expected to grow in the Indian real estate sector include Grade A office and industrial stock, residential sales, data centers, senior living facilities, retail malls, and hotels.
What role does the Indian real estate sector play in the country's economic and social development?
The Indian real estate sector plays a vital role in inclusive urbanisation and sustainable community development, contributing to the design of climate-resilient cities, building affordable homes, and fostering innovation and inclusivity.
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