India’s real estate sector attracted $26.7 billion in equity investments over the past three years, with Mumbai leading the pack, as published by Hindustan Times.
The city captured the highest share of inflows, securing $6.9 billion—nearly 26% of the total equity investments between calendar years (CY) 2022 and 2024.
A joint report by CBRE and the Confederation of Indian Industry (CII) revealed that Mumbai, Delhi-NCR, and Bengaluru together accounted for $16.5 billion, making up around 62% of the total equity investments during this period.
These three cities have continued to dominate the investment landscape due to a concentration of investment-grade projects, robust urban infrastructure, a skilled talent pool, and consistent demand across various asset classes. The report also highlights the steadily formalizing real estate ecosystem, which further bolsters investor confidence in these regions.
The report, titled Bricks & Billions – Mapping the Financing Landscape of Real Estate, also provided insights into the distribution of investments across different sectors. Land and development sites attracted the largest share, receiving 44% of total equity inflows between CY 2022 and 2024. Built-up office assets followed with a 32% share.
Between 2022 and 2024, tier-II cities accounted for about 10% of the total real estate equity investments, amounting to approximately $3 billion. The report pointed out that land and development sites were the primary investment target in these cities, attracting 47% of the total equity inflows in tier-II markets. The industrial and logistics (I&L) sector came second, with a 25% share of investments in tier-II cities.
The growth momentum in tier-II cities has been driven by factors such as rapid industrialization, rising consumer demand, and the expansion of infrastructure. These factors are positioning tier-II markets as increasingly attractive destinations for long-term investors.
Anshuman Magazine, Chairman and CEO of CBRE India, Southeast Asia, Middle East & Africa, emphasized that India’s real estate sector is entering a new phase of growth, underpinned by strong capital inflows and a growing pool of capital available for deployment. “The sustained investor interest, particularly in built-up office assets and residential developments, is driven by solid fundamentals and steady demand from end-users,” he said. “We expect this momentum to continue as India’s structural reforms and corporate evolution attract long-term capital.”
Rishi Kumar Bagla, Chairman of the CII Western Region and Chairman and Managing Director of BG Electricals and Electronics, highlighted the institutionalization of India’s real estate sector. He stated, “India’s real estate sector is rapidly institutionalizing, creating a more transparent, risk-mitigated environment that aligns with global investor expectations. Enhanced due diligence frameworks, sustainability mandates, and stronger compliance protocols are becoming the norm.”
The report concluded that these developments signal positive growth for India’s real estate sector, suggesting that continued investor interest and evolving market dynamics will help sustain the sector’s expansion in the years ahead.