Did India’s Real Estate Sector Achieve Record Deal Volumes in Q3 2025?
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Synopsis
India's real estate sector has reached unprecedented heights with record transactions in Q3 2025. Discover the factors behind this surge and what it means for the future of real estate investment in the country!
Key Takeaways
- India's real estate sector achieved a record $2.9 billion in Q3 2025.
- 42 transactions were recorded, the highest quarterly volume ever.
- Private equity investments rebounded with a 71 percent increase.
- M&A activity included 21 deals totaling $843 million.
- Commercial assets attracted significant investment in this period.
New Delhi, Oct 24 (NationPress) In a remarkable development, India's real estate market witnessed 42 transactions amounting to $2.9 billion in Q3 2025, setting a record for the highest quarterly volume ever reported, according to a recent report.
The findings from business advisory firm Grant Thornton Bharat indicated that these transactions encompassed nine public market deals, which included five IPOs and four QIPs.
Additionally, a notable uptick in significant M&A and private equity investments was highlighted in the report. When excluding public market transactions, there were 33 private deals valued at $1.8 billion, suggesting a revival of investor interest in the commercial and retail real estate sectors.
M&A activity surged with 21 deals totaling $843 million, predominantly driven by 20 domestic transactions that contributed $838 million.
“The rise in prominent transactions, increasing investor demand for income-generating, institutional-grade assets, coupled with ongoing engagement in capital markets, showcases the deepening institutional confidence and resilience of the sector,” stated Shabala Shinde, Partner and Real Estate Leader at Grant Thornton Bharat.
She further added, “With favorable policy frameworks and enhanced funding access, India’s real estate landscape is transforming into a more professional, transparent, and governance-centric ecosystem.”
Private equity (PE) transactions rebounded strongly, with 12 deals valued at $859 million, representing a 71 percent increase in volume and a 48 percent rise in value compared to the preceding quarter.
Three transactions exceeding $100 million accounted for 81 percent of the total PE deal value, with a significant portion of investment directed towards commercial assets and real estate technology, according to the advisory firm.
Equity markets experienced a resurgence this quarter, as five IPOs raised a cumulative $805 million alongside four QIPs valued at $344 million, signaling a recovery after a period of stagnation.
Real estate operators and the commercial development sector maintained their leading position, contributing 70 percent of deal volume and 91 percent of deal value, with four of the top ten deals emerging from these areas.
Point of View
It is evident that the current momentum in India's real estate sector not only signifies robust economic recovery but also highlights a shift towards more structured and transparent investment practices. The significant interest from private equity and institutional investors underscores a growing confidence in the sector's potential, paving the way for transformative growth.
NationPress
24/10/2025
Frequently Asked Questions
What drove the increase in real estate transactions in Q3 2025?
The increase was driven by a surge in marquee M&A and private equity investments, along with a strong appetite for income-generating assets.
How much investment was recorded in private equity?
Private equity saw a strong rebound with 12 deals totaling $859 million, marking a significant increase compared to the previous quarter.
What role do public market transactions play in the overall volume?
Nine public market deals, including five IPOs and four QIPs, contributed to the overall quarterly volume, showcasing investor confidence.
