Booming Institutional Investments Propel Indian Real Estate Growth

Institutional investments in the Indian real estate sector surged by 31% year-on-year, totaling USD 4.61 billion by September 2024. Despite geopolitical challenges, India's strong economic growth and infrastructure development continue to attract significant foreign and domestic investment, with Chennai leading in Q3 2024.

Institutional investments in India's real estate sector have surged by 31% year-on-year, reaching USD 4.61 billion from January to September 2024. This upswing is driven by steadfast consumer demand, according to real estate consultant Vestian's latest report.

Despite a significant 69% quarterly decline in the July-September period, the outlook for the sector remains promising. Chennai emerged as a major recipient of these investments, especially in industrial & warehousing, commercial, and residential sectors, capturing a 48% share of the attraction in Q3 2024.

Vestian's CEO, Shrinivas Rao, attributes this growth to India's robust GDP performance coupled with burgeoning infrastructure development. The trend also underscores the increasing engagement from both foreign and domestic investors, fueled by the revived preference for work-from-office setups and the expansion of office markets.

(With inputs from agencies.)