India has reaffirmed its position as one of the world’s most attractive destinations for cross-border investment in land and development assets, according to a new report by global real estate consultancy Colliers. The country ranks seventh globally in this segment, underscoring the growing investor confidence in India’s evolving real estate landscape.
India’s emergence as a preferred investment hotspot in the Asia-Pacific region is being fueled by a combination of robust economic fundamentals, a maturing property market, and strategic policy initiatives. An ongoing push for infrastructure development has further strengthened the investment climate, making Indian real estate increasingly appealing to both regional and global investors.
“Institutional investments in Indian real estate touched $1.3 billion in Q1 2025, marking a 31% year-on-year growth, a testament to the sector’s resilience and increasing global interest,” said Badal Yagnik, CEO of Colliers India. A significant portion of these investments has been channeled into land and development opportunities, signaling rising confidence in long-term prospects.
The report highlights growing foreign investor participation, with international capital accounting for nearly 40% of total institutional inflows in the first quarter of 2025. While office space continues to draw substantial attention, residential real estate is gaining traction, thanks to rising demand, favorable returns, and strong domestic sentiment.
Emerging sectors such as life sciences and data centers are also witnessing increased investor activity. These trends point toward a diversifying market, where investment is no longer confined to traditional asset classes.
“India’s real estate sector is entering a new phase of growth, supported by development platforms, alternative investment structures, and a robust supply pipeline,” said Vimal Nadar, National Director & Head of Research at Colliers India. He added that recent consecutive repo rate cuts bringing the benchmark lending rate down to 5.5%, the lowest in three years, are expected to further enhance investor sentiment and unlock fresh capital across asset classes.
With sustained interest from global players and a broadening investment base, India is well-positioned to capitalize on its growth trajectory in the real estate sector.
