Indias Real Estate Sector Sees 14% Yearly Growth in Q1 2026 Deal Activity

by

Narendra Jijhontiya

Indias Real Estate Sector Sees 14% Yearly Growth in Q1 2026 Deal Activity

New Delhi, April 24: India’s real estate sector experienced a significant increase in deal activity during the first quarter of the fiscal year 2026, with the number of deals rising to 32 compared to 28 in the same period last year. This information was revealed in a report released on Friday.

In the previous quarter, the number of deals stood at 26.

According to Grant Thornton India’s report, the absence of major deals in the first quarter of 2026 resulted in a slight decline in deal value, which reached $763 million in the March quarter.

The report indicated that the increase in the number of deals alongside a decrease in value suggests that investors are increasingly attracted to smaller and medium-sized transactions.

The mergers and acquisitions segment led the deal count with 19 transactions; however, the lack of large deals caused its value to drop sharply to $305 million.

Shabala Shinde, partner and head of real estate at Grant Thornton India, stated, “This quarter has shown a clear trend towards medium-sized and income-generating properties, with domestic activity dominating and private equity capital remaining a significant source.”

Shinde further noted that investment trends indicate a strong inclination towards commercial properties, particularly office and retail platforms, which are supported by clear yields and stable cash flows. Additionally, transactions led by REITs have further strengthened institutional confidence in high-quality, income-generating assets.

Overall, the deal environment has remained resilient, although investors are adopting a more selective approach. Amid ongoing macroeconomic and geopolitical uncertainties, there is a heightened focus on property-level performance and execution certainty.

Private equity and venture capital activity recorded 13 deals valued at $458 million, marking the highest quarterly volume in the past year. However, the absence of any major deals in the previous quarter led to a sequential decline of 71% in values.

Leave a Comment

BREAKING NEWS: