Capital raised by Indian real estate highest in past seven years: Equirus Capital
- IBEF
- October 24, 2025
India’s real estate sector recorded its highest capital mobilisation in seven years, raising Rs. 23,080 crore (US$ 2.63 billion) in FY25 across 12 deals, according to Equirus Capital. Since FY18, the sector has attracted a total of Rs. 72,331 crore (US$ 8.24 billion), led by Real Estate Investment Trusts (REITs) at Rs. 31,241 crore (US$ 3.56 billion), followed by large-cap developers at Rs. 20,437 crore (US$ 2.33 billion), mid-cap firms at Rs. 12,496 crore (US$ 1.42 billion), and small-cap players at Rs. 8,156 crore (US$ 928.2 million). Small-cap real estate stocks have been the top performers since March 2021, while REITs, despite underperforming earlier, have delivered 21.30% returns over the past year, emerging as the best-performing real estate asset class during that period.
Industry analysts expect the next growth phase for India’s REIT market to come from retail assets, driven by the consolidation of high-quality malls, sustained consumer spending, and rising urban incomes. Anarock Research projects the Indian retail REIT market to reach Rs. 60,000-80,000 crore (US$ 6.83-9.12 billion) by 2030, forming 30-40% of the overall REIT market estimated at Rs. 2,00,000 crore (US$ 25 billion). Colliers’ data indicates India’s four listed office REITs currently manage 133 million sq. ft. of Grade-A office space, with another 371 million sq. ft. eligible for listing. Recent developments include Embassy Developments’ Rs. 1,160 crore (US$ 132 million) fund infusion and Blackstone and Sattva Group’s filing for a Rs. 6,200 crore (US$ 707 million) Initial Public Offer (IPO) for Knowledge Realty Trust, poised to be India’s largest REIT issue.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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