logo
India's REIT market capitalisation crosses ₹1 lakh crore, cements status as mainstream asset class

India's REIT market capitalisation crosses ₹1 lakh crore, cements status as mainstream asset class

Hindustan Times08-08-2025
The Real Estate Investment Trusts (REITs) market has crossed ₹1 lakh crore in market capitalisation as of July 30, 2025, underscoring the sector's rapid growth and rising importance in the country's financial ecosystem, Indian REITs Association has said in a statement. The Real Estate Investment Trusts (REITs) market has crossed
₹ 1 lakh crore in market capitalisation as of July 30, 2025. (Photo for representational purposes only) (Shutterstock)
The four publicly listed REITs - Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, and Nexus Select Trust - reflect strong confidence from both institutional and retail investors in India's formal commercial real estate sector. The milestone also signals greater depth and liquidity in the REIT market, making it an attractive and efficient investment vehicle for those seeking stable, income-generating assets, it said.
According to the Indian REITs Association, this growth has been driven by sustained investor interest, healthy occupancy in underlying properties, consistent unitholder distributions, and supportive regulatory reforms. As a result, REITs are now firmly established as a mainstream asset class in India's capital markets, offering a compelling alternative to traditional investments.
Since their introduction in 2019, REITs have transformed access to income-generating real estate assets. They offer investors a transparent, regulated, and liquid structure to participate directly in the country's dynamic real estate growth story, it said.
Also Read: Should you invest in India's biggest office REIT IPO – Knowledge Realty Trust?
'We welcome this significant milestone as evidence of the sector's resilience, maturity, and potential. This fiscal year has commenced on a strong footing, driven by robust leasing momentum, high occupancy levels and sustained growth in distributions for the sector. This positive start positions us well for another successful year," said Alok Aggarwal, MD and CEO of Brookfield India Real Estate Trust and Chairman of the Indian REITs Association.
"As REITs continue to scale and attract long-term capital, their growing market capitalisation is expected to further enhance liquidity — benefiting issuers through improved access to capital, and investors through increased trading volumes and tighter spreads,' he said.
According to the Q4 FY25 data, India's REIT market manages gross Assets Under Management (AUM) exceeding ₹1.63 lakh crore. The four REITs collectively operate over 128 million square feet of Grade A office and retail real estate across India's key urban centres. Since their respective inceptions, these REITs have distributed a cumulative total of over ₹22,800 crore to unitholders, underlining their growing appeal among both institutional and retail investors.
The Indian REITs Association (IRA) is a non-profit industry body established with the support of the Securities and Exchange Board of India (SEBI) and the Ministry of Finance. Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, and Nexus Select Trust are the founding members of the Association.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

India's youth has potential to define the global green economy
India's youth has potential to define the global green economy

Hindustan Times

time2 days ago

  • Hindustan Times

India's youth has potential to define the global green economy

In 2025, India's population is projected to reach 1.46 billion, with 68% in the working-age group (15–64 years). This is more than a demographic statistic; it is a moment of unprecedented possibility. India holds two unique advantages--the world's largest youth population and the accelerating global shift towards sustainability, which is reshaping industries at their core. The real question is no longer whether sustainability will shape the future, but whether India's young people will shape sustainability. Green economy (Shutterstock) The transformation is well underway. LinkedIn's Global Green Skills Report 2024 indicates that demand for green skills increased by 11.6% last year, while supply only rose by 5.6%. The demand for green skills is growing across various sectors such as construction (20.6%), manufacturing (13.2%), technology, information, media industry, and others. Therefore, green skills must now be seamlessly integrated into curricula to meet evolving industry needs. They are no longer a niche function but a core competency embedded across several important roles, prompting universities to weave them into courses that align with market demands. India's youth are not merely adapting to this shift; they're determined to drive it. The LinkedIn report mentioned above highlights that 61% of Gen Z aspire to work in green jobs within the next five years, and 78% believe they can gain the necessary skills if given the right opportunities. This blend of ambition and optimism, supported by our demographic strength, places India at a pivotal moment. By equipping this generation with targeted skill development, fostering innovation, and enabling access to future-ready jobs, India has the potential not just to participate in but to lead the global green economy. Education is the bridge between aspiration and achievement. According to the Times Higher Education Impact Rankings 2025, several Asian universities are leading in various UN Sustainable Development Goals (SDGs), indicating a shift in curriculum and higher education priorities. Sustainability is no longer confined to niche courses; it is emerging as a guiding framework across disciplines, from engineering and agriculture to business, health care, and urban planning. This trend signals both opportunity and responsibility. As global industries embed sustainability into their core strategies, people with expertise in these principles will be in high demand, not just for their technical skills, but for their ability to innovate responsibly and create solutions that balance growth with environmental and social impact. As a student-focused organisation, we have consistently witnessed the drive and determination of young learners – ambitious, adaptable, and eager to acquire skills that will help them grow and make a meaningful impact. They are true go-getters, willing to put in the effort not only to learn but to translate that knowledge into action. However, access powers ambition. Flexible, inclusive, and future-ready education financing can be a game-changer, empowering students to pursue courses that align with their aspirations and career goals without being constrained by financial barriers. This is where new-age NBFCs can play a pivotal role by financing programmes that equip students to create change, whether in their communities, industries, or the global arena. We are already seeing this shift in action. While conventional postgraduate degrees such as MBA and those in STEM remain popular, students are increasingly opting for programmes that integrate sustainability into their core curriculum, signalling a generation that values both professional success and societal impact. The theme for International Youth Day 2025, Local Youth Actions for the SDGs and Beyond, is a timely reminder that global leadership begins locally. Every city rethinking its infrastructure, every business embedding sustainability into its DNA, and every student committing to skills that advance the SDGs is part of a larger national momentum. With scale, intent, and capability on our side, the path forward is clear: if we align skill-building, industry collaboration, and equitable access to education, India's youth will not just join the green economy, they will define it. This article is authored by Amit Yadav, chief strategy officer, Avanse Financial Services.

India's next big shift needs to be responsible consumption
India's next big shift needs to be responsible consumption

Hindustan Times

time2 days ago

  • Hindustan Times

India's next big shift needs to be responsible consumption

There is growing recognition that the way we consume must adapt to a more resource conscious world. Behind every product lies a chain of material extraction, energy use and environmental impact that often goes unseen. The Circularity Gap Report 2025 shows that global material use now exceeds 100 billion tonnes annually, with only 7.2% being cycled back into the economy. According to the UNEP Global Resources Outlook, the extraction of virgin materials has doubled since 2000, contributing to growing ecological stress. Climate crisis (Shutterstock) In India, rapid urban and industrial expansion is increasing both material use and waste, now estimated at 62 million tonnes each year. Amid the progress, extreme weather events are putting added pressure on infrastructure and communities. India ranks seventh on the Global Climate Risk Index, underlining the need to build systems that use resources more efficiently and support resilient, inclusive growth. India's long-standing culture of frugality offers a strong foundation. For generations, households have made thoughtful use of everyday items, repairing and reusing rather than replacing. Even today, practices like those followed by Mumbai's dabbawalas show how reuse can thrive at scale. This mindset continues to offer valuable lessons. As consumption habits evolve, there is an opportunity to position reduce, reuse and repair as modern, aspirational choices. The transformation is already underway with circularity slowly entering the mainstream, driven by both digital platforms and grassroots movements. This includes consumer-facing circular services like rental platforms and repair marketplaces, business-led return cycles for batteries, textiles, and packaging materials, and startups making it easier for people to repair and resell electronic devices, reducing e-waste. Everyday practices like garment alteration and shoe repair continue thriving across metros and smaller towns, while community-led reuse efforts across Tier 1 and 2 cities are encouraging people to extend the life of everyday items, reinforcing the belief that sustainability starts at home. India's sports retail sector, where early efforts range from buyback programmes and resale of refurbished gear to in-store repair services and hands-on maintenance workshops. Online services are also expanding, with bike servicing emerging as one of the most widely used offerings, alongside racket restringing, treadmill and fitness machine maintenance, and repair of cricket and football gear. These initiatives, introduced by leading sports brands, are helping reshape how consumers think about product ownership; encouraging them to maintain and extend the life of sports gear rather than replace it. At the same time, consumer interest in reuse and resale is also being driven by the practical benefits of affordability and access, particularly in a retail environment where formal refurbishing options remain limited. Workshops and buyback events are gaining traction, indicating a gradual but important shift toward circularity in the sports retail journey. Circular consumption can unlock more household savings, lower emissions and waste for cities, and long-term business trust. But realising this potential requires coordinated action across multiple stakeholders. Businesses must go beyond isolated green initiatives and integrate circular thinking into product design, logistics, customer service, and retail formats. The corporate response is already evolving. Leading fashion and apparel retailers are stepping up with garment collection and recycling programmes, offering practical models for brand-led circular action. These efforts show circularity builds both revenue and customer loyalty, not just climate gains. Widespread adoption requires enabling infrastructure and supportive policy frameworks. Policymakers can accelerate it by reducing GST on refurbished and repaired goods, supporting repair infrastructure, and embedding circular economy goals into national programmes like Mission LiFE, making sustainable choices more economically attractive while advancing India's environmental agenda. Such efforts also align with Make in India and Right to Repair initiatives, which aim to create local jobs and strengthen service-based livelihoods. Strengthening the Right to Repair initiative to include excluded categories like sports equipment would unlock access for millions of users eager to maintain their gear. To be effective, circularity must work across brands and sectors. This includes enabling service providers to repair products regardless of origin, expanding consumer choice and supporting local repair economies. Improving repair logistics beyond metros is especially important to make circular services as convenient and trusted as buying new. This opens opportunities for startups, logistics providers and digital platforms to develop integrated service models. Technology is already playing a key role. Platforms that connect consumers with repair services, peer-to-peer resale options and digital marketplaces for refurbished goods are helping make circular choices more seamless. Emerging technologies like AI are also beginning to contribute. A 2024 KPMG report shows that 73% of consumer and retail companies have realised value from active AI use cases, particularly in areas such as operational efficiency, product innovation and ESG delivery. As India's economy grows and its spending power increases, we have the chance to build circular thinking into our consumption patterns from the ground up. Rather than following the linear consumption path that has contributed to global environmental challenges, India can pioneer a more sustainable approach that balances growth with resource stewardship. The circular economy represents a $4.5 trillion opportunity globally; India is well-positioned to capture a significant share of this value. The manufacturing sector can benefit from circular design principles that reduce material costs, create new revenue streams from service and repair, build stronger customer relationships, and unlock competitive advantages in a resource-constrained future. Embedding circularity into daily life requires commitment from all stakeholders, consumers choosing services such as repair, second-hand and rental instead of always buying new. Businesses must adopt circular models, and policymakers must create enabling frameworks to make sustainability a shared, lasting habit. The way ahead will be shaped by our collective will to rethink consumption and rebuild our relationship with the material world. This article is authored by Annie George, sustainable development leader, Decathlon India.

Indian Investors Show Cautious Optimism Ahead of US-Russia Summit
Indian Investors Show Cautious Optimism Ahead of US-Russia Summit

Mint

time2 days ago

  • Mint

Indian Investors Show Cautious Optimism Ahead of US-Russia Summit

(Bloomberg) -- Before the trading day starts we bring you a digest of the key news and events that are likely to move markets. Today we look at: Good morning, this is Chiranjivi Chakraborty, an equities reporter in Mumbai. There's not much to cheer for equity bulls on a rainy Thursday morning in the city. Nifty futures are trading steady, and Asian markets haven't managed to sustain Wednesday's rally. The focus is shifting to the weekly expiry of Nifty options, especially with a long weekend ahead and a highly anticipated meeting between Donald Trump and Vladimir Putin. Meanwhile, foreign funds seem to be toning down their bearish bets. This, combined with still hopeful retail investors and local institutions sets the stage for a surprise move in the days ahead. Cautious optimism ahead of the long weekend Odds favor the Nifty 50 Index breaking its six-week losing streak — the longest since 2020. Despite a dip on Tuesday, the benchmark is up for the week. With Nifty options expiring and an extended weekend ahead, some short covering could give the market an extra lift. Local traders and global funds may also keep positions lighter than usual ahead of the upcoming US-Russia summit on the Ukraine war, mindful of the past market jolts from the unpredictable Donald Trump. REITs quietly building momentum While equity markets wobble, India's listed real estate investment trusts are on a tear. Driven by the boom in global capability centers and steady demand for high-quality office and retail space, the four listed REITs distributed 15 billion rupees ($172 million) to investors in the June quarter, up 13% from last year, according to the Indian REITs association. The sector's stability and income potential are making REITs a regular feature in investment portfolios. Derivatives traders switching lanes? Another corner of the market is drawing increased interest from traders. With derivatives trading volumes falling, margin trading exposure — or leveraged bets — in the cash market is up nearly 30% since April to 911 billion rupees, according to data from the National Stock Exchange. The surge suggests that some options traders may have switched tracks due to stricter regulations in the derivatives segment since November. While the jump hasn't yet shown up in cash market turnover, brokers are benefiting from the higher commissions such trades generate. Three great reads from Bloomberg today: Over in bond land, benchmark 10-year yields have burst past the 6.5% mark for the first time since April, climbing about 15 basis points since the RBI dashed rate-cut hopes. Big buyers are staying away, waiting to see if fiscal measures can soften the blow from steep US tariffs. And just to keep things interesting, a fat-finger trade briefly sent yields tumbling Wednesday morning, only for them to snap right back up. To read India Markets Buzz every day, follow Bloomberg India on WhatsApp. Sign up here. --With assistance from Kartik Goyal and Savio Shetty. (Corrects year in second paragraph.) More stories like this are available on

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store