Is India the New Leader in Real Estate Investment in Asia-Pacific?
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Synopsis
India is poised to become a major hub for real estate investments in the Asia-Pacific region. With projected institutional investments of $5-7 billion in 2025 and 2026, the Indian market shows strong promise amidst rising urbanization and infrastructure growth. Discover how India is attracting global investors and reshaping the real estate landscape.
Key Takeaways
- Projected investments in Indian real estate are set to reach $5-7 billion per year in 2025 and 2026.
- Industrial and Logistics sectors are experiencing renewed growth.
- Data centers are becoming a strong focus for investment.
- Office and residential properties will account for nearly 60% of total investments.
- Global investors are increasingly interested in India's emerging market for higher returns.
New Delhi, Nov 21 (NationPress) Institutional investments in the Indian real estate sector are expected to reach $5-7 billion each in 2025 and 2026, driven by strong economic growth, increasing urbanization, and improved infrastructure, as reported on Friday.
Capital raising focused on the Asia-Pacific region has increased by over 130 percent since 2024, accounting for 11 percent of global fundraising in the first three quarters of 2025, according to a report by the real estate services firm Colliers.
Vimal Nadar, National Director and Head of Research at Colliers India, stated, “The Industrial and Logistics sector is poised for renewed growth. Among alternative assets, data centers are likely to attract more investments, fueled by the rapid development of digital infrastructure and hyperscale demand.”
Continued cross-border investment is expected to play a vital role as India strengthens its reputation as a prime destination for stable, long-term real estate investments in the Asia-Pacific region.
Investment in office and residential properties is anticipated to comprise nearly 60 percent of total investments in 2025, supported by consistent demand and a robust supply pipeline, along with interest in industrial and logistics and data centers.
Furthermore, equity markets are improving liquidity and generating alternative investment avenues through REITs and IPOs, which are driving cross-border involvement in Indian real estate.
Global investors are re-entering real estate markets, seeking diversification across sectors and regions, with India emerging as a preferred choice, the report highlighted.
The survey of institutional investors indicated that market fundamentals are strengthening, liquidity is returning, and pricing expectations are stabilizing globally.
While established markets like Japan, Australia, and Singapore remain attractive, emerging markets, particularly India, are capturing attention for their potential for higher returns.
Institutional investments in Indian real estate have shown resilience, totaling $4.3 billion in the first nine months of 2025, supported by ongoing momentum throughout the first three quarters, according to the report.
Point of View
It is crucial to recognize India's growing stature in the Asia-Pacific real estate sector. While established markets retain their popularity, India's potential for higher returns and stable investments positions it as a critical player in attracting global capital. This trend highlights the need for continued focus on infrastructure and urban development to sustain this trajectory.
NationPress
21/11/2025
Frequently Asked Questions
What is the projected investment in Indian real estate for 2025?
Institutional investments in the Indian real estate sector are projected to reach $5-7 billion each in 2025 and 2026.
Which sectors are expected to attract the most investment?
The Industrial and Logistics sectors, along with data centers, are expected to see significant investments due to growing demand.
How much did institutional investments total in the first nine months of 2025?
Institutional investments in Indian real estate totaled $4.3 billion during the first nine months of 2025.
