India’s commercial real estate investment rises 15 pc in Jan-Sep: Report
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New Delhi, Nov 12 (IANS) Investment in India's commercial real estate sector rose 15 per cent year-on-year in the first nine months of 2026, while cross-border inflows reached $5.5 billion, according to a report released on Thursday.
The growth came as commercial real estate investment across the Asia-Pacific region climbed 27 per cent from a year earlier to nearly $200 billion during the period, according to a report by Savills.
India remains one of the few markets in the region offering both relatively high rental yields and income growth, it added.
Grade A office assets in the country generate yields of 7.75 per cent-8 per cent, while rents are increasing by up to 8 per cent annually.
"India continues to strengthen its position as an attractive destination for global real estate investors," Anurag Mathur, chief executive of Savills India, said.
Strong occupier demand, healthy rental growth and competitive yields were supporting investor confidence, while growing interest from overseas buyers reflected both current returns and long-term growth prospects, he added.
The report also highlighted India's urbanisation trend, noting that around 36 per cent of the population lives in cities and that about 12 million people are being added to urban areas every year.
Across Asia-Pacific, investment activity remained concentrated among large institutional investors.
The 25 biggest buyers accounted for 47 per cent of regional deal volumes in the first half of 2026, up from 34 per cent two years earlier.
Among property segments, data centres posted the strongest growth with investment volumes rising 79 per cent year-on-year, followed by retail assets at 36 per cent.
Meanwhile, investments in offices, industrial properties and hotels increased by about 22 per cent, while the apartment sector recorded a 12 per cent decline.
The growth came as commercial real estate investment across the Asia-Pacific region climbed 27 per cent from a year earlier to nearly $200 billion during the period, according to a report by Savills.
India remains one of the few markets in the region offering both relatively high rental yields and income growth, it added.
Grade A office assets in the country generate yields of 7.75 per cent-8 per cent, while rents are increasing by up to 8 per cent annually.
"India continues to strengthen its position as an attractive destination for global real estate investors," Anurag Mathur, chief executive of Savills India, said.
Strong occupier demand, healthy rental growth and competitive yields were supporting investor confidence, while growing interest from overseas buyers reflected both current returns and long-term growth prospects, he added.
The report also highlighted India's urbanisation trend, noting that around 36 per cent of the population lives in cities and that about 12 million people are being added to urban areas every year.
Across Asia-Pacific, investment activity remained concentrated among large institutional investors.
The 25 biggest buyers accounted for 47 per cent of regional deal volumes in the first half of 2026, up from 34 per cent two years earlier.
Among property segments, data centres posted the strongest growth with investment volumes rising 79 per cent year-on-year, followed by retail assets at 36 per cent.
Meanwhile, investments in offices, industrial properties and hotels increased by about 22 per cent, while the apartment sector recorded a 12 per cent decline.
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Note: The content of this article is sourced from a news agency and has not been edited by the ap7am team.