Indian REITs See 13% YoY Growth in Distributions, Top Rs 1559 Crore in Q1 FY26

Published: August 13, 2025 | Category: Real Estate
Indian REITs See 13% YoY Growth in Distributions, Top Rs 1559 Crore in Q1 FY26

India’s four publicly listed Real Estate Investment Trusts (REITs) have collectively distributed Rs 1,559 crore to over 2.7 lakh unitholders in the first quarter of the current financial year (Q1 FY26). This marks a year-on-year growth of more than 13% from Rs 1,371 crore distributed in Q1 FY25.

The country’s listed REITs include Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, and Nexus Select Trust. Together, these REITs manage a portfolio exceeding 129 million square feet of Grade A office and retail assets across India. Since their inception, they have cumulatively distributed over Rs 24,300 crore to unitholders.

In a major milestone for the sector, the combined market capitalisation of all four listed REITs crossed Rs 1 lakh crore as of market close on July 30, 2025. This highlights the strong growth trajectory of the segment and its increasing significance in the country’s financial ecosystem.

“This rise in quarterly distribution marks a strong start to the fiscal year and reflects Indian REITs' continued commitment to delivering regular and stable cash flows to unitholders,” said Alok Aggarwal, Managing Director & CEO of Brookfield India Real Estate Trust and Chairman of the Indian REITs Association. “The consistent growth in quarterly distributions to REIT unitholders highlights the exceptional quality of underlying assets, the strength of rental collections, and disciplined capital management by REIT managers. As the market matures and investor confidence deepens, we are confident REITs will emerge as a cornerstone of India's capital markets, offering a compelling investment proposition for domestic and international investors. With its proven track record of resilience and growth, we firmly believe Indian REITs are poised for continued success.”

As of Q4 FY25, the total gross Assets Under Management (AUM) of the Indian REIT market stood at approximately Rs 1,63,000 crore. The Indian REITs Association (IRA), a non-profit industry body supported by the Securities and Exchange Board of India (SEBI) and the Ministry of Finance, counts the four listed REITs as its founding members.

These REITs have not only demonstrated robust financial performance but also played a crucial role in attracting institutional and retail investors to the Indian real estate market. The consistent growth in distributions and market capitalisation underscores the sector's resilience and potential for further expansion. As the Indian economy continues to grow, the demand for high-quality commercial and retail spaces is expected to rise, further bolstering the prospects of these REITs.

Investors looking to diversify their portfolios and gain exposure to the Indian real estate market should consider the opportunities presented by these REITs. The strong fundamentals and growing investor base make Indian REITs an attractive option for those seeking stable returns and long-term growth.

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Frequently Asked Questions

1. What are REITs?
REITs, or Real Estate Investment Trusts, are companies that own, operate, or finance income-generating real estate. They allow individual investors to invest in large-scale, diversified real estate portfolios.
2. How many REITs are listed in India?
There are four publicly listed REITs in India: Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, and Nexus Select Trust.
3. What is the total market capitalisation of Indian REITs?
As of market close on July 30, 2025, the combined market capitalisation of all four listed REITs crossed Rs 1 lakh crore.
4. What is the total gross AUM of the Indian REIT market?
As of Q4 FY25, the total gross Assets Under Management (AUM) of the Indian REIT market stood at approximately Rs 1,63,000 crore.
5. What is the Indian REITs Association (IRA)?
The Indian REITs Association (IRA) is a non-profit industry body supported by the Securities and Exchange Board of India (SEBI) and the Ministry of Finance. It counts the four listed REITs as its founding members.