Mumbai Real Estate Sees 4x Surge in Institutional Investments to $1.19 Billion
Mumbai's real estate market has experienced a remarkable surge in institutional investments, growing fourfold to USD 1.19 billion in the first nine months of 2025. This substantial increase is primarily driven by foreign investors seeking better returns on residential and commercial projects, as reported by Cushman & Wakefield.
Real estate consultant Cushman & Wakefield's India Capital Markets Q3 2025 report highlights that institutional investments in Mumbai have jumped from USD 295.57 million in the same period last year to USD 1,195.78 million this year. Foreign capital has played a significant role, accounting for two-thirds (67%) of the total inflow, amounting to USD 797.7 million. Investors from the United States and Japan have been the leading contributors, with USD 500 million and USD 297 million, respectively. Domestic investors contributed the remaining USD 398 million.
Somy Thomas, Executive Managing Director of Capital Markets at Cushman & Wakefield, noted that institutional investment in Mumbai's real estate market has surpassed the USD 1 billion mark for the fourth consecutive year. He emphasized that this resilience is a reflection of strong fundamentals, infrastructure-led growth, and a diversified asset base, which continue to attract both foreign and domestic capital.
Thomas further added, 'With transformative projects like the Trans Harbour Link and Coastal Road enhancing connectivity, investor confidence in Mumbai's long-term growth remains robust. We expect this momentum to accelerate in the months ahead.'
Despite the significant growth in Mumbai, the overall inflow of funds into the Indian real estate market has seen a slight decline of 10% pan-India. The total institutional investment in the country fell to USD 4,694.54 million in January-September 2025 from USD 5,236.20 million in the corresponding period of the previous year. However, Cushman & Wakefield remains optimistic, estimating the total institutional investment in Indian real estate to reach USD 6–6.5 billion this year, compared to USD 7.1 billion in 2024.
The surge in institutional investments in Mumbai's real estate market underscores the city's continued appeal as a prime investment destination. The combination of robust infrastructure projects and a growing economy is expected to further boost investor confidence and drive future growth in the sector.
