Foreign investment in Indian real estate down 16 per cent to $3.65 billion last year: Colliers

NEW DELHI: Institutional investments in Indian real estate rose 29 per cent to a record $8.47 billion last year, despite a 16 per cent drop in foreign fund inflow due to global uncertainties, according to Colliers India.

Real estate consultant Colliers India on Tuesday released the data of institutional investments in Indian real estate, showing that the inflow touched an all-time high of $8.47 billion in 2025 as against $6.56 billion in the preceding year.

As per the data, domestic investments more than doubled to $4.82 billion last year from $2.24 billion during 2024.

However, foreign investments dipped 16 per cent to $3.65 billion from $4.32 billion.

The institutional flow of funds includes investments by family offices, foreign corporate groups, foreign banks, proprietary books, pension funds, private equity, real estate fund-cum-developers, foreign-funded NBFCs, listed REITs, and sovereign wealth funds, Colliers said, adding that the data has been compiled as per available information in the public domain.

"During the year, office assets continued to attract the bulk of the investments, accounting for 54 per cent of the annual inflows, followed by residential and industrial & warehousing assets," said Badal Yagnik, Chief Executive Officer and Managing Director, Colliers India.

Looking ahead, he said the institutional investments are expected to strengthen further, supported by expanding domestic capital, improving global risk appetite, and India's strong economic fundamentals.

Among different assets, India's office market witnessed a 94 per cent increase in institutional investments to $4.53 billion last year from $2.33 billion in the 2024.