Equity inflows into Indian real estate touched a record $30.7 billion between 2024 and Q1 2026, marking an 88% jump from $16.3 billion in the previous two-year period, according to a report released by real estate consultancy CBRE South Asia.
Between 2024 and Q1 2026, acquisition of land/development sites, and built-up office assets cumulatively accounted for more than three-fourths of the overall capital inflows.
Moreover, institutional investors, accounting for 30% of the total investments, recorded a more than two-fold increase in capital flows as compared to the 2022-2023 period. It was largely driven by an uptick in deployment towards core segments such as built-up office, retail, and logistics assets.
The big story: Capital is moving in at record pace
This surge is being driven by a mix of:
Developers
Institutional investors
REITs (Real Estate Investment Trusts)
And the deployment is not scattered—it is concentrated and strategic.
More than 75% of total inflows went into land/development sites and office assets, showing strong confidence in both future supply and income-generating asset
Land buying boom: $13 billion deployed
6,025 acres of land acquired between 2024 and Q1 2026
Capital deployed: $13 billion
Where is this money going?
80%+ into residential, mixed-use and office projects
Remaining into:
Warehousing
Data centres
Retail
Institutional investors are back—and doubling down
Institutional capital now accounts for:
30% of total investments
More than 2x increase vs 2022–23
These investors are focusing on:
Office spaces
Retail assets
Logistics infrastructure
The report – which analyzed capital flows across four quadrants: public equity, private equity, public debt, and private debt – added that during 2024-Q1 2026, India’s real estate sector witnessed the acquisition of roughly 6,025 acres of land for greenfield developments, representing a massive capital deployment of $13 billion. Over 80% of the funds dedicated to site acquisitions were deployed for residential, mixed-use, and office projects, with the rest committed to warehousing, data centres, and retail developments.
REITs achieved a nearly six-fold surge in market capitalisation to Rs 1.7 trillion between April 2020 and December 2025. Capital deployment by listed REITs for the acquisition of built-up, investment-grade office and retail assets surged to a record USD 2 billion in Q1 2026, representing a 4x Q-o-Q and =6x Y-o-Y increase.
Total deployment from 2024 through Q1 2026 reached $3.8 billion, marking a 66% rise compared to the 2022-23 period.
Debt market
According to the report, bank credit to commercial real estate grew 16% Y-o-Y between March 2025 and February 2026. Meanwhile, NBFC advances to commercial real estate surpassed the Rs 1 lakh crore milestone in September 2025, a five-year high, according to RBI data. More than just recovery, these trends show growing institutionalised conviction towards the sector.
Top-tier developers are also increasingly leveraging the public debt markets for refinancing.
“We are witnessing the payoff of a decade of structural reforms,” said Anshuman Magazine, Chairman & CEO — India, South-East Asia, Middle East & Africa, CBRE. “From RERA and GST to the RBI’s Project Finance Directions in 2025, each intervention has made India’s real estate market more transparent, more resilient, and more institutionally credible. The documented debt inflows reflect a long-term conviction and remain well-informed and regulated. India’s BFSI sector has not just returned to real estate but has redefined its relationship with the sector.
Debt financing in India’s real estate sector surpassed $146 billion cumulatively from 2024 to Q1 2026, channeled through a diverse mix of structured debt instruments via trusteeships, banks, NBFCs, and other institutional avenues.
Three gateway cities—Mumbai, Delhi-NCR, and Bengaluru—attracted over 60% of total debt flows, while select non-tier-I cities accounted for ~8% of overall activity, reflecting growing investor confidence beyond established metros.
According to CBRE’s 2026 Asia Pacific Investor Intentions Survey, over 74% of investors expressed a willingness to increase capital allocation to Indian real estate in 2026, citing strong occupier demand, low debt costs, and a boom in industrial and digital infrastructure as key tailwinds.
India’s alternative real estate asset classes are emerging as the next major frontier for institutional capital.
Data centres continue to be regarded as a top-tier investment segment. Building on 2025’s land and asset acquisitions, marquee players have committed an additional $178 billion in Q1 2026 alone which is expected to be deployed in the coming years. Recent reforms such as long-term tax incentives for domestic cloud services, extended through 2047.
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Inflows up 88% as compared to $16.3 billion between 2022 and 2023 -
Development site / land and office accounted for more than three-fourths of the overall capital inflows -
Sector witnessed the acquisition of 6,025 acres of land for greenfield developments between 2024-Q1 2026, with capital deployment of $13 billion -
Bank credit to commercial real estate grew 16% Y-o-Y between March 2025 and February 2026 -
NBFC advances crossed the Rs 1 lakh crore-threshold for the first time in five years as of September 2025 -
REITs deployed record $ 2 billion in Q1 2026 (~4x Q-o-Q; ~6x Y-o-Y jump), totalling $ 3.8 billion since 2024—up 66% versus 2022-23