New Delhi: India’s real estate sector is set to achieve a historic milestone in 2025, with institutional investments projected at a record $10.4 billion across 77 transactions, marking the second consecutive year of all-time highs, according to a report by global real estate consultancy JLL.
The projected inflows represent a 17% increase over 2024, when investments stood at $8.9 billion, underlining sustained investor confidence in the sector. JLL noted that the back-to-back record performance highlights India’s growing appeal as one of the most dynamic real estate investment destinations in the Asia-Pacific region.
In addition to near-term transactions, the sector also saw platform commitments worth $11.43 billion in 2025, earmarked for deployment over the next three to seven years. A significant portion—$11 billion—came from a single platform focused on data centres, formed by Digital Connexion, a joint venture involving Reliance Industries, Brookfield Asset Management, and Digital Realty Trust. The remaining commitments are directed toward upcoming commercial and residential developments.
Commenting on the outlook, Lata Pillai, Senior Managing Director and Head of Capital Markets, India at JLL, said institutional capital is expected to drive exceptional performance in 2025, building on the momentum created in 2024. She added that the scale and consistency of capital deployment reflect growing confidence in India’s long-term real estate fundamentals.
A key highlight of 2025 was the shift in investor composition, with domestic institutional investors accounting for 52% of total investments, the first time domestic capital has taken the lead since 2014. This marks a reversal from the 2015–2024 period, when foreign investors dominated market activity.
The report also pointed to a two-fold increase in core asset acquisitions, signalling a growing preference for stabilised, income-generating properties. Indian REITs and Infrastructure Investment Trusts (InvITs) played a central role in this transition, deploying $2.5 billion, which accounted for 56% of total core asset investments. Indian private equity funds added further momentum, contributing 30% of domestic capital deployment.
JLL said the rise of domestic institutional participation reflects the maturation of India’s REIT ecosystem and increasing confidence in structured real estate investment vehicles. The convergence of strong domestic capital and continued foreign interest, the report added, has created a solid foundation for sustained growth and expansion of India’s real estate investment market in the coming years.
