Real estate sector receives $26.7 billion equity inflows in three years, Mumbai at the forefront
The real estate sector received $26.7 billion in equity investments over the past three calendar years, with Mumbai leading the way. The financial capital attracted the highest inflows at $6.9 billion, representing nearly 26% of total real estate equity investments between CY 2022 and 2024.
According to a report by CBRE and CII, Mumbai, Delhi-NCR, and Bengaluru together accounted for approximately $16.5 billion, making up a combined 62% share of the total investments during this period.
'The total real estate equity investments during CY 2022-24 stood at $26.7 bn in India,' the report said.
"This sustained dominance of gateway cities was driven by a high concentration of investment-grade projects, robust urban infrastructure, a skilled talent pool, strong demand across asset classes, and a steadily formalising real estate ecosystem," the report 'Bricks & Billions - Mapping the Financing Landscape of Real Estate' said.
The CBRE – CII joint report provides a view of the real estate landscape and prevailing financing strategies, including those pertaining to real estate equity and debt investments and AIFs, among other strategic insights.
Land/developments sites attracted the largest share of equity investments, accounting for a 44% share of total inflows between CY 2022-24, followed by built-up office assets, which had a 32% share, the report noted.
Between CY 2022 and 2024, tier-II cities accounted for nearly 10% of total real estate equity investments, amounting to approximately $3 bn. During this period, land/developments sites emerged as the leading investment sector in tier-II cities, attracting approximately 47% share of the total tier-II capital inflows, followed by the industrial and logistics (I&L) sector, which accounted for around 25% share.
Sustained economic momentum in tier-II cities, driven by rapid industrialisation, rising consumption, and expanding infrastructure, have positioned them as attractive destinations for investors, the report said.
'India's real estate sector is entering a new phase of growth, powered by robust capital inflows and a significant pool of dry powder ready for deployment. The strong investor sentiment, especially in built-up office assets and residential developments, is underpinned by sound fundamentals and steady end-user demand. We believe this momentum will sustain as India's structural reforms and corporate evolution continue to attract long-term capital,' said Anshuman Magazine, chairman and CEO - India, South-East Asia, Middle East & Africa, CBRE.
Rishi Kumar Bagla, chairman, CII Western Region and chairman and managing director, BG Electricals and Electronics, said, 'India's real estate sector is rapidly institutionalising, creating a more transparent, risk-mitigated environment that aligns with global investor expectations. Enhanced due diligence frameworks, sustainable development mandates, and stronger compliance protocols are becoming the norm."
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
India Today
2 days ago
- India Today
With over 1 million IT employees, Bengaluru is Asia-Pacific's top tech city: Report
Bengaluru has joined the world's top technology hubs as one of only 12 'Powerhouse' markets globally, according to the Global Tech Talent Guidebook 2025 released by the real estate services firm CBRE. Bengaluru has reached a milestone, with over one million technology professionals on payrolls now -- the largest talent pool of technology professionals in the Asia-Pacific include major tech centres such as San Francisco, New York Metro, London, Tokyo, Paris, and CBRE report evaluated 115 markets across the world based on the availability, quality, and cost of tech talent. Bengaluru stood out not just for the size of its workforce but also for its strength in specialised skills, particularly in artificial intelligence (AI). The report notes that the city houses the largest concentration of AI professionals in India, matching the levels seen in top US tech IN WORKING POPULATION, STARTUPS AND OTHER GROWING CITIES Bengaluru has also seen a 2.4% increase in its working-age population from 2019 to 2024, with 75.5% of its population falling into that group. This demographic advantage is one of the key drivers of the city's expanding tech city's startup environment is thriving, with 28 unicorns and a strong flow of venture capital investment. In 2024 alone, Bengaluru secured 140 VC deals worth $3.3 billion, including 34 focused on AI. The city is supported by world-class institutions and favourable policies, helping to maintain a steady talent pipeline in AI, data science, engineering, and product and Mumbai are also making notable progress. Delhi-NCR closed 183 VC deals worth dollars 1.9 billion, while Mumbai saw 167 deals totalling $4.9 billion. Both cities are playing a key role in India's wider tech growth report notes that global tech talent distribution is influenced by factors such as education, quality of life, real estate costs, and capital funding -- areas where Bengaluru continues to perform strongly. This recognition further cements Bengaluru's position as India's leading tech city and a significant player on the global Watch
Time of India
2 days ago
- Time of India
BM Property: Bengaluru emerges as prime market for office space retrofitting
Bengaluru's commercial real estate market is poised for a major transformation, as a new report by CBRE South Asia Pvt Ltd has highlighted massive potential in retrofitting existing office spaces. Titled 'From Existing to Exceptional: A Strategic Approach to Retrofitting Indian Office Spaces', the study estimated that nearly 130-140 million sq ft of the city's 230 million sq ft office stock is ripe for upgradation—presenting a significant opportunity for value micro-markets such as Outer Ring Road, Whitefield, and the Extended Business District are identified as the hotspots for modernisation. These areas not only hold the greatest retrofitting potential but also promise varying rental premiums upon upgrade. CBRE estimates that Bengaluru alone represents an investment potential of INR 95–162 billion through targeted improvements in ageing office broader office market too, shows considerable opportunity, with nearly 50% of the office inventory across top seven cities exceeding 10 years in age. Of the estimated 882 million sq ft of total stock, more than 434 million sq ft—based on ownership and asset age—qualifies for strategic retrofitting. Bengaluru and Delhi-NCR account for nearly 45% of this older inventory, followed by Mumbai and Chennai with another 32%.The report noted that this transformation isn't just aesthetic. Upgraded buildings can command rental premiums of up to 20%, and in some cases, even 30–40% based on market demand. This makes retrofitting a smart strategy for developers and investors to align with rising occupier expectations around sustainability, wellness, and offers both immediate and long-term advantages. Tenants benefit from lower operating costs, improved amenities, and healthier work environments. Landlords gain higher leasing velocity, stronger tenant retention, and improved asset valuation. Enhanced safety, energy efficiency, and ESG alignment make such properties more appealing to institutional investors and REITs, boosting asset push for modern, high-performance workspaces is also a response to evolving workplace expectations. Retrofitted buildings can include smart systems, modular designs, wellness features like gyms and daycare facilities, and even community-centric Magazine, Chairman & CEO - India, South-East Asia, Middle East & Africa, CBRE, emphasised that retrofitting has become a strategic imperative. 'This is no longer about cosmetic upgrades,' he said, adding that retrofitting is now a sophisticated, data-backed approach to transforming real estate assets to meet long-term sustainability and financial the sentiment, Gurjot Bhatia, Managing Director - Asia, PJM Advisory, Turner & Townsend, stated, 'India's office sector is at a critical juncture. With 434 million sq ft of space ready for transformation, the focus must be on creating future-ready workplaces that cater to modern occupier needs and ESG-focused investment.' As Bengaluru leads the national push towards retrofitting, the city's commercial real estate sector is set to make new benchmarks in asset performance, investor returns, and occupier satisfaction.
Time of India
2 days ago
- Time of India
IGBC plans tie-up with Bengal to promote green buildings
Kolkata: The Indian Green Building Council is open to collaborating with state govt to promote green buildings under Bangla Awas Yojana. The IGBC proposal was supported by state finance minister Chandrima Bhattacharya during Green Building Summit 2025, organised by CII and IGBC in the city on Friday. Tired of too many ads? go ad free now Bhattacharya said a public-private partnership model for green buildings could be explored to enhance net-zero and climate-resilient infrastructure. "The govt is providing incentives like a 10% additional floor area ratio to green buildings in KMC and NKDA areas," she said. Bengal currently has about 900 IGBC-registered green building projects. M Anand, deputy executive director of IGBC, said: "We are planning to work with Bengal govt for development of green homes under Bangla Awas Yojana." Sushil Mohta, chairman of IGBC Kolkata, said: "Every rupee invested in green buildings saves Rs 3 to Rs 7 in operational costs. We request the govt for fast-track approvals of green projects."
