India's Real Estate Trusts to Witness Massive Growth by 2030

India's Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) market could draw an additional Rs 11.6 trillion in investments by 2030, with assets under management (AUM) expected to surpass Rs 20 trillion as outlined in a report by Avendus Capital. Despite rapid growth, the market is still at an early stage.

India's Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) market is poised to welcome a staggering Rs 11.6 trillion in additional investments by 2030. A detailed report by Avendus Capital projects that Assets Under Management (AUM) will more than double to exceed Rs 20 trillion.

Currently, the market stands at approximately Rs 10 trillion in AUM, but substantial growth is anticipated. This leap is expected to be supported by diverse investors, including mutual funds, insurance companies, pension funds, foreign investors, and corporate treasuries. The burgeoning sector is projected to generate an annual market opportunity exceeding Rs 1 trillion.

Despite impressive strides, India's REIT and InvIT sectors remain underpenetrated compared to mature global markets. The report highlights the vital role of infrastructure expansions, regulatory reforms, and the government's development push in driving future growth. As domestic financialization grows, the sector's significance in strategic asset allocation is set to rise dramatically.