Domestic capital powers growth as offices dominate investment landscape.

Institutional Investments in Indian Real Estate Jump 25% to $1.6 Billion in Q1 2026.

Institutional investments in Indian real estate rose 25% year-on-year to $1.6 billion in the January–March quarter of 2026, driven primarily by a sharp surge in domestic capital, according to a report by Colliers India. Domestic investments jumped to $1.2 billion, accounting for nearly 75% of total inflows—far above historical averages—highlighting strong local investor confidence despite global volatility. In contrast, foreign investments declined 23% year-on-year to $0.4 billion amid ongoing global economic uncertainties. Office assets remained the most preferred segment, attracting around $0.8 billion, or nearly 50% of total investments, almost double the levels seen a year earlier. Residential real estate followed with a 20% share, drawing about $0.3 billion. Regionally, Delhi-NCR and Bengaluru together accounted for 46% of total inflows, largely led by office transactions. Badal Yagnik noted that strong domestic capital continues to support market momentum despite global market headwinds.