India's real estate market witnessed a US$ 2.77 billion investment during the second quarter of 2024

According to a Cushman & Wakefield report, India's real estate market saw a surge in investments during the second quarter of 2024, attracting US$ 2.77 billion, according to a Cushman & Wakefield report. This influx propelled total investments for the first half 2024 to a record-breaking US$ 3.9 billion. The second quarter's performance marks a 1.5x increase compared to the previous quarter and a substantial 39% YoY growth, demonstrating continued investor confidence in the Indian real estate market. “US$ 3.9 billion of private equity inflows during the first half of 2024, already surpassing 70% of last year's total, highlights the remarkable growth and investor confidence in India's real estate market. This surge is primarily driven by infrastructure-related sectors like logistics and industrial, fuelled by significant public investments in multi-modal economic corridors,” said Mr. Somy Thomas, Managing Director, Valuation & Advisory and Capital Markets, Cushman & Wakefield.

Delhi-NCR emerged as the top destination for private equity investments in the second quarter, attracting US$ 532 million and capturing 19% of the total investment share, marking a significant 74% YoY increase. The city maintained its lead in the first half, securing US$ 633 million of inflows, or 16% of the record US$ 3.9 billion investment in the sector. The surge in Delhi's investments has been driven primarily by the office segment, with major equity buyouts by prominent fund houses. The residential sector in the city has also seen continued interest, especially in the high-end and luxury segments. Bengaluru followed Delhi with 13% (US$ 509 million) and Hyderabad with 8% (US$ 320 million) in investment share for the first half. Multi-city deals accounted for the remaining 48% (US$ 1.862 billion) of the investments, reflecting a diversified investment strategy across various regions. The Logistics & Industrial (L&I) sector dominated this quarter, capturing 56% of total investments (US$ 1.542 billion) and maintaining its leading position with 41% of total first-half inflows. Foreign investors played a crucial role, contributing 76.3% of total investment volume in the second quarter of 2024.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.