Real estate attracts $1.4 bn investments in Q1 2026; down 62% from Dec qtr

PTI

New Delhi

Institutional investment in the Indian real estate sector fell 62% during the January-March period to $1.41 billion from the previous quarter amid negative sentiments caused by the West Asia conflict, according to Vestian.

The investment in real estate stood at $3.73 billion in the October-December quarter of the 2025 calendar year. However, real estate consultant Vestian said investments rose 74% from $0.81 billion in the year-ago period, highlighting strong investor confidence in India's real estate sector despite intensifying global headwinds.

Driven by strong demand from GCCs, commercial assets dominated investment activity in Q1 2026 with an 80% share. Investment in commercial assets fell to $1.12 billion in January-March from $2.28 billion in the preceding quarter. The inflow of funds jumped more than three times from $307.2 million in the January-March period last year. Commercial assets include office, retail, co-working, and hospitality projects.

On the other hand, investments in residential assets declined by 53% quarter-on-quarter and 59% year-on-year to $205.9 million in Q1 2026. 

In value terms, the segment attracted over $1.1 billion in investments.