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India maintains its position as a top International Investment Destination

Posted on: 12-06-2025Courtesy: Outlook Business
By Star Estate
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India’s stature continues to rise globally as the recent report by Colliers, Indian real estate secure a position amongst the top 10 destinations for cross-border real estate investment.

Colliers, a real estate investment company exhibits India’s robust presence in the Asia Pacific region. The evolving Indian real estate and inclination to invest in the best plots for sale drive the momentum for India.

The report Collier’s Global Capital Flows June in 2025 further exhibits Asia Pacific region lures global investors’, particularly those looking for the best investment options in land for sale. The countries from the region successfully maintained their five-year share in Q1, 2025.

China and Singapore secured top positions, followed by Australia, Malaysia, and India in fifth to seventh positions. While Hong Kong and Japan stood at ninth and tenth real estate global positions. Also, China commands 80% of the business for cross-border real estate investment.

Asia Pacific region governs the office space segment followed by industrial and retail sectors.

In Q1, 2025, institutional investments in Indian real estate stood at $1.3 billion. A 31% YoY increase in the market with investors’ strong investment sentiments.  

“Global and regional capital continues to flow steadily into India, particularly in land & development assets, supported by a maturing market and diverse capital deployment opportunities,” said Badal Yagnik, Chief Executive Officer, Colliers India.
Indian real estate market expects strong growth momentum as global investors are inclined towards the residential segment. Following this, demand amplifies for workplaces including life sciences and data centers.

“At the same time, strong demand fundamentals, robust supply pipeline, and expanding avenues such as development platforms and alternative investment structures will continue to present compelling opportunities in commercial as well as industrial and warehousing segments,” said Yagnik.

The cross-border real estate investment got a strong boost in Q1, 2025, leaving behind the records for the last three years. The newly raised fund of approximately $58 billion is (44%) nearly half the figure of 2024.  More than 60% fund crossed the expected Q1 target, by Blackstone. It contributed nearly 30% of activity via its European fund and recent debt strategy.

In Q1, data strategies lured 33% of new capital, followed by opportunistic 47% in the second place. In the APAC region, Japan hints at price escalation as inflation remains high. While South Korea, Australia, and Singapore commenced slashing rates.
Vimal Nadar, National Director & Head of Research, Colliers India, says foreign investors accounted for nearly 40% of the institutional inflows during Q1, 2025, reaffirming their long-term interest in Indian real estate

“While office assets remain a key focus for foreign investors, residential investments are gaining ground, driven by rising demand, healthy returns, and a positive domestic outlook.”

He further said, “Looking ahead, consecutive repo rate cuts have brought the benchmark lending rate to 5.5%, the lowest in three years. This is likely to further boost investor sentiment and facilitate greater capital deployment across real estate classes, particularly the residential segment in the near to medium term. ”