Capital inflows into India’s real estate sector surged nearly 48% year-on-year to USD 3.8 billion in the July–September 2025 quarter, driven by strong investor interest in land, development sites, and built-up office and retail assets, according to CBRE’s latest ‘Market Monitor Q3 2025 – Investments’ report. During Q3 2024, the inflows stood at USD 2.6 billion.

During Q3 2025, the inflows were primarily fuelled by capital deployment into land / development sites and built-up office and retail assets. In the first nine months of 2025, the equity investments increased by ~14% Y-o-Y to USD 10.2 billion from USD 8.9 billion in the same period last year.

Anshuman Magazine, Chairman & CEO – India, South-East Asia, Middle East & Africa, CBRE, said, that the healthy inflow of domestic capital demonstrates the sector’s resilience and depth.

“India’s real estate sector is entering a phase of accelerated growth, driven by continued investor confidence. In the upcoming quarters, greenfield developments are likely to continue witnessing a robust momentum, with a healthy spread across residential, office, mixed-use, data centres, and I&L sectors,” he said.

Gaurav Kumar, Managing Director, Capital Markets and Land, CBRE India, added, “The investment landscape is becoming more diversified, with capital deployment into both built-up and development assets. In addition to global institutional investors, Indian sponsors accounted for a significant part of the total inflows. India’s ability to combine strong domestic capital with global institutional participation will remain a key differentiator in 2026 and beyond.”

Asset-wise the growth was largely driven by sustained interest in land / development sites, along with robust activity in built-up asset acquisitions. Together, land / development sites and built-up office and retail assets accounted for more than 90% of the total capital inflows during Jul-Sep ‘25.

Among major cities, Mumbai attracted the highest investments, accounting for a share of ~32%, followed by Pune (~18%) and Bengaluru (~16%). On the category of investors, developers remained the primary drivers of capital deployment, contributing ~45% of the total equity inflows, followed by Institutional investors with a 33% share.

Investment outlook for 2025

The report added that the investment activity in 2025 is expected to close on a strong note, primarily fuelled by capital deployment into built-up office and retail assets. Greenfield developments are likely to continue witnessing robust momentum in the upcoming quarters across residential, mixed-use, data centres, and I&L sectors. For the office sector, the limited availability of investible core assets for acquisition indicate that opportunistic bets are likely to continue gaining traction.