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India’s Real Estate Investment Hits Record $5.1 Billion In Q1 Calendar Year 2026

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India’s real estate market saw $5.1 billion in Q1 2026. A record number. Up 72% from last year, driven largely by developers and REITs.

India's property market had its best quarter on record between January and March 2026. Capital inflows hit $5.1 billion, well above the $3.3 billion recorded in the final quarter of 2025. The numbers come from CBRE's India Market Monitor report for Q1 Calendar Year (CY) 2026.

Domestic investors accounted for 96% of total flows, with developers and Real Estate Investment Trusts (REITs) splitting the bulk of it. Developers brought in 42% of the capital. Real Estate Investment Trusts followed at 40%, crossing $2 billion in a single quarter for the first time.

  • Total inflows: $5.1 billion, up 72% YoY and 53% QoQ

  • Developer share: 42% of total inflows

  • REIT share: 40%, crossing $2 billion for the first time

  • Built-up office and land acquisitions: over 90% of total equity flows

  • New investment platforms established: approximately $234 million

  • Foreign inflows: Singapore at 72%, Canada at 27%

  • Top cities: Bengaluru, Mumbai and Delhi-NCR at 65% of total investment

  • Land acquisitions: 73% directed toward mixed-use and residential projects

On the residential side, the picture was more measured. Around 65,250 homes were sold in Q1 CY26, up 4% from the previous quarter. Year-on-year, volumes dipped 7%, which CBRE described as a normalisation phase rather than a structural decline. Developers pushed ahead anyway, launching over 74,200 new units during the quarter, a 23% increase from Q4 CY2025.

Bengaluru, Mumbai and Hyderabad together drove 61% of all new launches. Mumbai, Pune and Hyderabad accounted for 58% of total sales.

Foreign capital was a smaller slice of the total but still telling. Singapore accounted for 72% of overseas inflows, with Canada contributing 27%. The concentration shows that Asian and North American institutional money is still finding reasons to back Indian real estate, even with global uncertainty running high.

Also Read - Corporate Bonds In The Secondary Market See 30% Surge In FY26

Gaurav Kumar, Managing Director and Co-Head of Capital Markets at CBRE India, said demand for premium office space remains strong, backed by both domestic institutional money and foreign capital flowing primarily through Real Estate Investment Trusts. He added that rising land acquisitions for mixed-use and residential projects point to a market that is holding up well despite external pressures.

The West Asia conflict and rising construction costs have added pressure to margins and supply chains, but they have not dented investor appetite for the sector at the institutional level.

Sources:

CBRE

The Business Standard

This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their own research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Brokerage will not exceed the SEBI-prescribed limit. The securities are quoted as an example and not as a recommendation. SEBI Registration No-INZ000200137 Member Id NSE-08081; BSE-673; MSE-1024, MCX-56285, NCDEX-1262.

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