Key Takeaways
- • Institutional investors deployed $5.93 billion into Indian real estate in January-September 2026, up 39% year on year, according to Colliers data reported by Business Today on October 8.
- • Domestic capital drove the market, with $3.49 billion (59% of inflows) over nine months, up 59%, while foreign investors contributed $2.44 billion, up 17%.
- • Third-quarter inflows totaled $1.42 billion, up 12% year on year, with domestic investors at $926.3 million (up 21%) and foreign investors at $490 million (down 3%).
- • CPP Investments' $312 million investment in Prestige Hospitality Ventures was the largest Q3 deal, and hospitality led Q3 sector allocations with a 25% share.
- • Office remained the dominant nine-month destination at 37% of inflows, while about 61% of Q3 investment came from multi-city deals.
Summary
Institutional investors put $5.93 billion into Indian real estate between January and September 2026, a 39% increase from the same period a year earlier, according to Colliers data reported by Business Today on October 8. The growth was led by domestic capital, which accounted for $3.49 billion, or 59% of all inflows, over the nine-month period. That figure represented a 59% increase year on year. Foreign investors contributed $2.44 billion over the same period, up 17%.
Third-quarter inflows totaled $1.42 billion, up 12% from a year earlier. Domestic investors put $926.3 million into the market in the quarter, representing 65% of Q3 flows and a 21% increase. Foreign investment came to $490 million, down 3% year on year. The largest single transaction was CPP Investments' $312 million investment in Prestige Hospitality Ventures, the hospitality platform of Prestige Estates Projects. Brookfield India REIT and Prime Offices Fund invested a combined $178.2 million in Mumbai office assets, and Kotak Realty Fund committed $83.7 million to Delhi-NCR developer Smartworld Developers.
By asset class, hospitality led Q3 with a 25% share, followed by office (20%), residential (16%), alternatives (14%), industrial and warehousing (13%) and mixed-use (12%). Over the nine-month period, office remained the top destination at 37%, followed by mixed-use at 17%, alternatives at 16% and residential at 12%.
The report notes that a rising share of domestic capital reduces the market's dependence on foreign flows, which tend to fluctuate with global conditions. The quarter was not uniform, however, as about 61% of Q3 investment came from transactions spanning several cities.
Third-quarter inflows totaled $1.42 billion, up 12% from a year earlier. Domestic investors put $926.3 million into the market in the quarter, representing 65% of Q3 flows and a 21% increase. Foreign investment came to $490 million, down 3% year on year. The largest single transaction was CPP Investments' $312 million investment in Prestige Hospitality Ventures, the hospitality platform of Prestige Estates Projects. Brookfield India REIT and Prime Offices Fund invested a combined $178.2 million in Mumbai office assets, and Kotak Realty Fund committed $83.7 million to Delhi-NCR developer Smartworld Developers.
By asset class, hospitality led Q3 with a 25% share, followed by office (20%), residential (16%), alternatives (14%), industrial and warehousing (13%) and mixed-use (12%). Over the nine-month period, office remained the top destination at 37%, followed by mixed-use at 17%, alternatives at 16% and residential at 12%.
The report notes that a rising share of domestic capital reduces the market's dependence on foreign flows, which tend to fluctuate with global conditions. The quarter was not uniform, however, as about 61% of Q3 investment came from transactions spanning several cities.
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