India's realty pulls in record capital at $14 bn: What investors are buying

Domestic investors dominated inflows with 80% share in Q4 2025, while foreign capital was led by Canada (52%) and the US (26%)

2025 marked a clear turning point for India's real estate sector. Capital inflows into the housing market surged 25% year-on-year to a record $14.3 billion, making it the strongest year ever for property investments in the country, according to a new report by CBRE South Asia Pvt. The momentum didn’t slow down at the end of the year. Q4 2025 alone attracted $3.3 billion, a nearly 30% jump over the same quarter last year.

 

What investors are buying—and why it matters

 

The data shows a clear preference for assets with long-term development and income potential. In 2025:

 

Land and development sites led the pack, accounting for over 46% of total investments

 

 

Built-up office assets followed with about 28%

 

In Q4, land, offices and warehousing together made up nearly 82% of all investments.

 

More than 60% of land investments in 2025 were channelled into residential and office developments, with mixed-use and warehousing close behind.

 

Investors are betting on future growth, particularly in residential, office, mixed-use and logistics projects.

 

Anshuman Magazine, Chairman & CEO - India, South-East Asia, Middle East & Africa, CBRE, said that a sustained dominance of land and development-led investments, alongside rising interest in office and warehousing assets, highlights a maturing market.

 

“Over 60% of total inflows in site / land acquisitions in full year 2025 were deployed for residential and office developments, with other prominent categories being mixed-use and warehousing projects”, he said, adding “The depth of domestic capital, complemented by steady foreign participation, positions India well for continued momentum in 2026”. 

Institutional investors from Canada and US accounted for 52% and 26% of the foreign capital inflows, respectively during Q4 2025. In addition to direct equity inflows, investment and development platforms worth approximately $440 m were established during the quarter across the office and residential sectors, highlighting growing interest in structured, long-term investment partnerships. 

Source: CBRE Research, Q4 2025

 

"Strong local demand and continued foreign investor participation have reinforced market resilience, with an all-time high in investments in the country in 2025. Office and residential assets continue to anchor the market, while activity expanded across mixed-use, warehousing, and data center segments. The year also saw establishment of various investment and development platforms, underscoring growing interest in structured, long-term investment partnerships," said Gaurav Kumar, Managing Director, Capital Markets and Land, CBRE India.