Nearly 30,000 acres of new campus land and 2.7 billion square feet of academic infrastructure are projected to be developed in India by 2035 to cater to the increasing student demand. This expansion is anticipated to offer the world’s largest institutional real estate opportunities in the coming decade, according to a report by ANAROCK Capital. Meeting the National Education Policy (NEP) 2020 target of a gross enrolment ratio (GER) of 50% by 2035 will necessitate around 25 million additional seats and approximately $100 billion in construction-led investments for academic facilities alone, excluding land acquisition and student accommodation infrastructure.
The report highlighted that this substantial expansion, driven by demographic trends, growing enrollments, globalization of education, and significant regulatory changes, signifies one of the most extensive higher-education build-out markets globally. Notably, higher-education enrollments in India surged from 27 million in 2010-11 to 45 million in 2022-23, propelled by demographic factors and increasing household aspirations. During the same period, the number of universities in the country increased from 760 in 2015 to 1,338 in 2025, with total higher education institutions growing from 51,534 to 70,018.
ANAROCK Capital’s CEO, Shobhit Agarwal, emphasized the importance of the Union Budget 2026 provision aimed at supporting the establishment of five university townships, acknowledging the existing gap in academic infrastructure. Following the Foreign Higher Education Institutions (FHEI) Regulations, foreign universities ranked within the top 500 globally can now set up campuses in India without the need for affiliations with local universities, noted Aashiesh Agarwaal, SVP-Investment Advisory at ANAROCK Capital.
Moreover, the report mentioned that three global university campuses have already commenced operations in India, with thirteen more institutions planning to establish campuses, including renowned names like Lancaster (UK), Liverpool (UK), Illinois Institute of Technology (US), and Instituto Europeo di Design (Italy). This trend reflects a strong international confidence in India’s education sector. States like Uttar Pradesh have introduced stamp duty exemptions and capital subsidies for higher education institutions, while Gujarat’s GIFT City has developed a dedicated international campus framework. Maharashtra, on the other hand, is focusing on a 250-acre ‘Educity’ near Navi Mumbai International Airport, securing commitments from five foreign higher education institutions.
