Navigating the waves

The resilience of the Indian real estate market has shone through amid global economic challenges, with institutional investments surging to USD 4.8 billion across 40 deals in H1 2024 (Jan-Jun). This already represents 81% of the total investments in 2023, which amounted to USD 5.8 billion. Unshakeable investor confidence in India prevails amidst global uncertainties and the election season, exemplifying the country's robust economic growth story.

While investment volumes experienced a minor decline in Q1 2024 (Jan-March), robust investment activity was witnessed in the following quarter. Additionally, the first half of 2024 exhibited nearly twice the number of deals compared to the same period last year, with an average deal size of USD 113 million.

Foreign Institutional Investors (FIIs) dominate Indian investments, amounting to USD 3.1 billion, which is a 65% share of the total investments in H1 2024. In 2023, domestic investors accounted for 37% of investments, compared to an average of 19% over the previous five years. This trend appears to continue in H1 2024, with domestic investors representing a 35% share.

H1 2024 institutional investments at USD 4.8 billion - an all-time high since H1 2006:

• India's resilience in the face of global economic headwinds is evident, as institutional investments reached USD 4.8 billion across 40 deals in H1 2024.

• The investment volumes in H1 2024 have already reached 81% of the total investments in CY 2023, which amounted to USD 5.8 billion.

• This marks an all-time high for half-yearly investments in the Indian real estate market, representing a 62% increase compared to H1 2023.

• Despite the general elections in Q2 and uncertainties surrounding the global economy, investors did not hesitate to invest in India.

• India has managed to sustain its economic growth, and the volume of investments indicates that investor confidence in the Indian growth story remains intact, despite uncertainty in the global environment.

• Although investment volumes marginally declined in Q1, Q2 witnessed robust investment activity.

• Additionally, H1 2024 has witnessed nearly twice the number of deals compared to the same period last year, with an average deal size of USD 113 million, remaining consistent.

For more insights, read the full report.