New Delhi, Jan 11 (NationPress) The Indian real estate sector has successfully attracted equity investments amounting to $11.4 billion in 2024, showcasing a significant 54 percent increase from the previous year, according to the renowned real estate consultancy, CBRE.
The surge in equity investments, predominantly from developers and institutional investors, was primarily directed towards land acquisitions and developments across all types of real estate assets. Domestic investments played a pivotal role, contributing approximately 70 percent of the total equity investments throughout the 2024 calendar year, as detailed in the report.
Countries such as Singapore, the United States, and Canada collectively accounted for over 25 percent of the total equity investments in Indian real estate during this period.
Developers spearheaded the capital inflows, securing around 44 percent of the total equity investments in 2024, followed by institutional players at 36 percent, corporations at 11 percent, Real Estate Investment Trusts (REITs) at 4 percent, and various other categories making up approximately 5 percent.
Anshuman Magazine, Chairman & CEO - India, South-East Asia, Middle East & Africa at CBRE, stated, "We anticipate sustained momentum in investment activity, especially within built-up office assets and residential development sites. The growing emphasis on e-commerce and quick commerce is expected to significantly boost the logistics and warehousing sectors, generating new opportunities for both developers and investors."
In terms of asset classes, equity investments in 2024 were predominantly driven by land/development sites, which represented 39 percent of the overall share.
This was trailed by the office sector at 32 percent, retail at 9 percent, residential at 8 percent, industrial and logistics at 6 percent, hotels at 2 percent, and other segments combining for over 4 percent.
CBRE remains optimistic about India's Global Capability Centres (GCC), which demonstrated impressive leasing activity in 2024, totaling 29.4 million sq. ft. with a share of 37 percent of the overall leasing transactions across the top nine cities in India, marking approximately 29 percent growth year-on-year.
Companies from sectors such as Technology, Engineering & Manufacturing, and BFSI are likely to fuel demand for both traditional and flexible office spaces for their GCCs, with ongoing demand arising from niche sectors like automobile, semiconductors, and life sciences.
