Capital inflows into India’s real estate sector saw a significant increase of 72% year-on-year, reaching $5.1 billion in the January-March period of 2026, compared to $2.9 billion in the same period last year. This surge, the highest ever recorded in any quarter, was mainly driven by developers, closely followed by Real Estate Investment Trusts (REITs).
A report by CBRE South Asia Pvt. Ltd. highlighted a 53% quarter-on-quarter rise in investments during the January-March period, totaling $3.3 billion in the previous quarter. This growth reflects a strong confidence from institutional investors in the underlying strengths of India’s real estate sector.
Domestic investors, primarily developers, dominated the investment landscape, accounting for 96% of the total inflows. Developers contributed 42% of the overall capital inflows, with REITs following closely at 40%. Notably, REIT investments exceeded $2.0 billion during this period.
Anshuman Magazine, Chairman and CEO of CBRE for India, South-East Asia, Middle East, and Africa, emphasized the robust confidence of domestic investors and institutional players in India’s real estate growth narrative. Despite global economic challenges, India’s resilient economic structure continues to attract substantial capital.
The report highlighted a significant focus on built-up office assets and land acquisitions during the first quarter, which collectively attracted over 90% of the equity investment flows. A considerable portion of the capital was directed towards land acquisitions, with a majority allocated to mixed-use and residential projects.
Gaurav Kumar, Managing Director and Co-Head of Capital Markets at CBRE India, noted a sustained preference for high-quality office spaces, supported by substantial investments from domestic and foreign institutional capital, particularly through REITs. Bengaluru, Mumbai, and Delhi-NCR accounted for approximately 65% of the total investment share, with Singapore and Canada contributing 72% and 27% of the foreign inflows, respectively.
