India’s real estate sector continues to be a major hotspot for investors, with capital inflows steadily increasing. According to the latest report, Market Monitor Q3 2025 – Investments, total equity investment in this sector reached $10.2 billion during the first nine months (January-September) of 2025, showing a 14% increase compared to the previous year.

The quarter from July to September 2025 saw a remarkable 48% year-on-year (YoY) growth in equity investment, bringing the total investment to $3.8 billion. Strong activity was recorded in land and development sites. Notably, demand for office and retail assets accelerated significantly.

Total capital inflow of $10.2 billion over 9 months

Total equity investment recorded during the first nine months (January-September) of 2025 was $10.2 billion. This figure is 14% higher than the $8.9 billion recorded during the same period last year. This growth clearly demonstrates sustained investor confidence and the increasing depth of the real estate sector.

Major cities lead the way

Among major cities, Mumbai emerged as the top destination, accounting for 32% of the total investment inflow, followed by Pune (18%) and Bengaluru (16%).

2025 expected to end strong

It is expected that this momentum will continue into the fourth quarter. During this period, built office and retail assets are likely to continue dominating the market. Additionally, strong activity is anticipated in greenfield development within the residential mixed-use and data center sectors.

Mumbai

Mumbai is a major coastal metropolis in western India, originally a collection of fishing villages. It grew into a significant urban center under British colonial rule as a key port and trading hub. Today, it is India’s financial, commercial, and entertainment capital, known for landmarks like the Gateway of India and its bustling film industry, Bollywood.

Pune

Pune is a major city in the Indian state of Maharashtra, historically known as the capital of the Maratha Empire under the Peshwas in the 18th century. Often called the “Oxford of the East” for its prestigious educational institutions, it also played a crucial role in the Indian freedom struggle and today is a major hub for IT and the automotive industry.

Bengaluru

Bengaluru, the capital of India’s Karnataka state, was founded in the 16th century by Kempe Gowda I. Originally a quiet city known for its pleasant climate and numerous lakes, it has transformed into a global technology hub, earning the nickname “The Silicon Valley of India.”