Global real estate investment recovers, India a strong growth market

Global real estate investment volumes saw an 8.2% year-on-year recovery in 2025, with a Colliers report highlighting India as a strong growth market within the resilient Asia-Pacific region, which shows robust forecasts for 2026.

Global real estate investment activity recovered in 2025, with total investment volumes rising 8.2 per cent year-on-year, and India is expected to remain among the stronger growth markets in the Asia-Pacific region, according to a report by Colliers.

The report noted that the global real estate market saw a recovery in transaction volumes during 2025 after a slowdown in the previous year. "With the vast majority of 2025 transactions now registered, it is encouraging to see the real estate investment market posted a strong recovery year-on-year, with global volumes rising by 8.2%," the report said.

Asia-Pacific Leads Growth Outlook

Despite uneven recovery across regions, Asia-Pacific markets -- including India -- are expected to show strong economic growth going forward, supporting investment flows. According to the report, economic growth forecasts for 2026 are strongest in the APAC region, which includes India.

"Forecast growth for 2026 also looks strongest in the APAC region, with all major markets bar Japan set to hit 2% or higher," the report said. The report added that several APAC economies recorded stronger growth momentum compared to the previous year. "Several countries saw economic growth improve over 2024, particularly in APAC," it said, highlighting the region's resilience amid global uncertainty.

Investment Pace and Confidence in APAC

However, the pace of investment growth in the Asia-Pacific region was more moderate compared with other regions. "In APAC, volumes for the region registered a 1.7% year-on-year growth," the report said, adding that while activity slowed toward the end of the year, investor confidence in core markets remained intact.

"Transactions of standing assets in core APAC markets increased circa 8% in 2025, showcasing investor confidence and resilience in key locations," it said.

Global Fundraising Rebounds

Globally, capital raising for real estate investments also rebounded sharply during the year. "Global real estate fundraising continued to rebound during Q2 2025, taking the full year total to just over $222 billion," the report said, noting that this made 2025 the third strongest fundraising year since 2019.

The report also highlighted a shift in capital allocation across regions. "2025 saw a marked shift in funds raised for investing in Europe and APAC," the report said, indicating that investor interest in Asia-Pacific markets could support stronger investment volumes in the coming years.

Overall, the report suggested that improving economic growth prospects across Asia-Pacific economies, including India, could help sustain capital flows into the region's real estate markets in 2026. (ANI)

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