New Delhi, May 4: The Indian real estate market has witnessed a remarkable surge in investment during the first quarter of 2026, with transaction values increasing by 37% year-on-year to reach $1.7 billion. This information was revealed in a report released on Monday.
According to JLL’s report, there has been a structural shift towards the acquisition of large properties, with their value skyrocketing by 178% to $1.03 billion during the January to March period.
This trend has accelerated further in the second quarter, where the total value of large property deals has reached $1.48 billion, indicating sustained confidence in stable, income-generating assets.
Lata Pillai, Senior Managing Director and Head of Capital Markets at JLL India, stated that this reflects a fundamental shift towards stable, income-generating properties, while the office sector continues to show strong operational foundations.
Pillai noted, “The successful completion of deals by cross-border investors has kept the momentum strong. India’s structural development positions us well to maintain this growth trajectory through 2026.”
She added that despite global challenges, India’s investment market is demonstrating resilience.
The real estate sector recorded exceptional growth during 2024 and 2025, with institutional capital inflows setting new records. Over these two years, a total of $19.4 billion in institutional capital flowed into the sector, marking a historic achievement for the industry.
A significant shift has occurred in the Indian real estate investment market, as domestic institutional investors captured a leading market share of 52% in 2025. This is the first time since 2014 that domestic capital has led the sector, representing a decisive change from the previous decade (2015-2024), when foreign institutional investors dominated.
The report indicates that domestic strength has played a crucial role in compensating for the decline in cross-border capital flows, as foreign institutional investors have adopted a more cautious approach amid ongoing geopolitical risks.
In the first quarter of 2026, local institutional investors accounted for 72% of the total investment volume.
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