India’s real estate investment market maintained strong growth momentum in the first quarter of 2026, with transaction volumes reaching $1.7 billion, a 37% increase from the previous year, according to a report by JLL. The quarter witnessed a significant shift towards core asset acquisitions, which surged by 178% to $1.03 billion.
The trend has continued into the second quarter, with core asset deals totaling $1.48 billion, indicating sustained confidence in stable, income-generating properties. Lata Pillai, Senior Managing Director & Head of Capital Markets at JLL India, highlighted the shift towards stable, income-generating properties, with the office sector demonstrating strong operational fundamentals.
Pillai mentioned that deal momentum remains robust, with cross-border investors closing transactions successfully. The report emphasized India’s structural evolution positioning it well for continued growth through 2026, showcasing remarkable resilience in the investment market amid global challenges.
The real estate sector in India experienced exceptional growth in 2024 and 2025, with record-breaking years for institutional capital inflows totaling $19.4 billion. Domestic institutional investors claimed a significant 52% market share in 2025, a departure from the foreign investor dominance seen in the previous decade.
The report noted that local institutional investors played a crucial role in offsetting reduced cross-border capital flows, with domestic resilience evident in the market. Indian REITs and Infrastructure Investment Trusts emerged as key drivers of the domestic capital surge, deploying $2.8 billion collectively, representing 47% of total domestic institutional capital.
Indian private equity players also contributed significantly, accounting for 42% of the overall domestic capital deployment. The forecast predicts continued momentum in India’s real estate investment market, supported by strong economic fundamentals, expanding infrastructure networks, and growing recognition as a stable investment destination within emerging market portfolios.
