Indian Real Estate Deals Decline 8% to USD 2.5 Billion in H1 2025: Grant Thornton Bharat
The Indian real estate sector saw deals worth USD 2.5 billion in the first half of 2025, marking an 8% annual decrease, according to Grant Thornton Bharat. Despite an increase in the number of transactions, the overall deal value dropped.
Real Estate DealsGrant Thornton BharatReal Estate MarketCommercial Real EstateReit MarketReal EstateJul 17, 2025
In its report 'Real Estate Q2 2025 Dealtracker', Grant Thornton Bharat highlighted that the real estate deals include Initial Public Offerings (IPOs) and Qualified Institutional Placements (QIPs). Shabala Shinde, Partner and Real Estate Industry Leader at Grant Thornton Bharat, noted that the data for the first half of 2025 reflects a sector recalibrating for long-term strength.
"In the first half of the year, the Indian real estate sector recorded 45 transactions, including IPOs and QIPs, valued at USD 2.5 billion, compared to 40 deals worth USD 2.7 billion in H1 2024. While volume increased year-on-year, the overall deal value dropped by 8 per cent," Shabala Shinde explained.
Shinde further pointed out that despite the moderation in overall deal values, institutional capital continues to flow steadily into commercial platforms, reinforcing the asset class's resilience. The return of IPO and Small and Medium Enterprise (SME) Real Estate Investment Trust (REIT) activity, alongside the anticipation of India's largest REIT, signals that capital markets are gearing up to play a larger role in driving real estate growth.
"While overall deal values moderated, institutional capital continues to flow steadily into commercial platforms, reinforcing the asset class' resilience. The return of IPO and SME REIT activity, alongside anticipation of India's largest REIT, signals that capital markets are gearing up to play a larger role in driving real estate growth," Shabala Shinde said.
For the second half of 2025, the sector is well-positioned for a more mature, innovation-led cycle of investment. During the second quarter of this calendar year, the data showed 17 transactions worth USD 1.3 billion, including IPOs and QIPs.
Grant Thornton Bharat is a leading professional services firm in India, providing a wide range of services including audit, tax, and advisory services. The firm's insights on the real estate sector provide valuable guidance for investors and stakeholders in the industry.
Frequently Asked Questions
What was the total value of real estate deals in the first half of 2025?
The total value of real estate deals in the first half of 2025 was USD 2.5 billion.
How many real estate transactions were recorded in H1 2025 compared to H1 2024?
In H1 2025, 45 transactions were recorded compared to 40 transactions in H1 2024.
What types of deals are included in the Grant Thornton Bharat report?
The report includes Initial Public Offerings (IPOs) and Qualified Institutional Placements (QIPs).
What does the data suggest about the real estate sector's future?
The data suggests that the sector is recalibrating for long-term strength and is well-positioned for a more mature, innovation-led cycle of investment.
What role are capital markets expected to play in the real estate sector?
Capital markets are expected to play a larger role in driving real estate growth, with the return of IPO and SME REIT activity and the anticipation of India's largest REIT.
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