Indian Real Estate Faces 3% Decline in Private Equity: Anarock Report

Private equity investments in Indian real estate fell by 3% to USD 3.7 billion last fiscal year, according to Anarock. The decline was driven by reduced foreign investor activity amid global uncertainty. Despite this, sectors like warehousing saw growth, indicating strategic capital deployment in quality assets.

Private equity investments in Indian real estate have witnessed a 3% decline, reaching USD 3.7 billion last fiscal, as reported by real estate consultant Anarock. This decrease is primarily linked to lower investments in office spaces, amid a complex global macroeconomic landscape.

According to Anarock Capital's latest data, foreign investors contributed to 84% of these investments, with a notable drop observed in the office complex segment. Expert comments point to a strategic shift toward warehousing and quality assets, considering the high interest rates and geopolitical tensions.

Industry insiders like Binitha Dalal emphasize the matured market recalibration and long-term value focus. Despite global challenges, experts suggest that India's real estate maintains its momentum, signaling resilient investment opportunities in future capital deployment.

(With inputs from agencies.)