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India remains key real estate investment destination in Asia Pacific: Report


New Delhi, March 11
India continues to strengthen its position as a key investment destination within the Asia-Pacific region, recording one of the strongest growths in real estate investments among the nine major APAC markets in 2025, a report showed on Wednesday.

Colliers’ report found that total real estate investment volumes across nine key Asia Pacific markets reached $162 billion in 2025, marking an 8 per cent year‑on‑year increase, with momentum building in the second half of the year as buyers and sellers moved closer on pricing expectations.

Interestingly, Singapore and India recorded the strongest year‑on‑year growth, at 35 per cent and 29 per cent respectively, reflecting improving market fundamentals and expanding investment opportunities, said the report.

While domestic capital continues to drive investment activity across most APAC markets, India has seen relatively stronger cross-border capital movement, with foreign investors accounting for 43 per cent of the $8.5 billion inflows during the year, said Badal Yagnik, Chief Executive Officer and Managing Director, Colliers India.

By sector, office assets remained dominant across Asia Pacific investment activity, supported by sustained occupier demand for high‑quality, well‑located assets and limited new supply in prime CBD locations.

Retail investments gained momentum, rising 15 per cent year‑on‑year as improving asset performance and consumer sentiment renewed investor confidence. Alternative asset classes emerged as the fastest‑growing sector, led by strong institutional demand.

Looking ahead, institutional investments in Indian real estate are expected to remain robust through 2026, supported by the strong economic growth prospects and sustained demand for high-quality assets.

“At the same time, the impact of global headwinds and ongoing trade negotiations will remain a key monitorable,” said Yagnik.

Office assets continue to remain the top preference for institutional investors across most APAC markets, including India.

“The sector dominated real estate investments in five of the nine major APAC markets in 2025, reflecting sustained occupier demand in institutional-grade assets. In India alone, office investments reached about $4.5 billion during the year, accounting for over half of the total institutional inflows,” said Vimal Nadar, National Director, Research, Colliers India.