India Emerges as APAC Investment Powerhouse with 29% Surge in Real Estate Volumes

Gurgaon, March 11, 2026: India has recorded one of the highest growth rates in real estate investment across the Asia Pacific (APAC) region. According to the latest Asia Pacific Investment Insights report released by Colliers, India’s investment volumes jumped 29% year-on-year in 2025, reaching a record USD 8.5 billion. This surge was propelled by a powerful year-end performance and a significant influx of foreign capital, which accounted for 43% of the total yearly inflows, a press statement from Colliers said. 

The broader APAC region also signaled a robust recovery, with total investment volumes across nine key markets – including Australia, Japan, China, and Singapore – reaching USD 162 billion, an 8% increase from 2024. Momentum intensified during the second half of 2025, which saw USD 87.3 billion in transactions as buyers and sellers found common ground on pricing. While South Korea, Japan, and Singapore led in total volume, Singapore and India stood out as the fastest-growing markets, posting gains of 35% and 29% respectively.

Sector-wise, office assets remained the bedrock of regional activity, capturing 36% of total investments at USD 58.5 billion. In India, the office sector was particularly dominant, attracting USD 4.5 billion – more than half of the country’s total institutional inflows. Retail investments across the region grew by 15%, while the “Alternatives” sector saw a staggering 191% surge as investors diversified their portfolios. Industrial and logistics followed closely behind office assets, maintaining its position as the second most active sector despite a slight moderation from previous highs.

Commenting on the country’s performance, Badal Yagnik, Chief Executive Officer & Managing Director, Colliers India, noted that India continues to strengthen its position as a key investment destination within the APAC region, recording one of the strongest growths in real estate investments among the nine major APAC markets in 2025. He further stated, “While domestic capital continues to drive investment activity across most APAC markets, India has seen relatively stronger cross-border capital movement, with foreign investors accounting for 43% of the USD 8.5 billion inflows during the year. Looking ahead, institutional investments in Indian real estate are expected to remain robust through 2026, supported by the strong economic growth prospects and sustained demand for high-quality assets. At the same time, the impact of global headwinds and ongoing trade negotiations will remain a key monitorable.”

Vimal Nadar, National Director, Research, Colliers India, highlighted the sustained preference for commercial spaces, observing that office assets continue to remain the top preference for institutional investors across most APAC markets, including India. He added, “The sector dominated real estate investments in five of the nine major APAC markets in 2025, reflecting sustained occupier demand in institutional-grade assets. In India alone, office investments reached about USD 4.5 billion during the year, accounting for over half of the total institutional inflows. Looking ahead, platform deals and partnerships between global investors & domestic developers will continue to gain traction, enabling large-scale capital deployment and reinforce India’s position as a key market for office investments in the APAC region.”

The report concludes that the Asia Pacific region is entering a “broad-based recovery phase” characterized by stabilizing interest rates and improved financing conditions. Theo Novak, Managing Director, Capital Markets & Investment Services, Asia Pacific at Colliers, described the shift in sentiment by stating, “We are seeing a shift from caution to conviction. Investors are prioritizing clarity, quality and markets with depth of capital. With domestic capital providing a stable foundation and cross‑border interest beginning to re‑engage, the region is entering a more measured, disciplined and increasingly broad‑based recovery phase. Office assets continue to provide scale, transparency and income stability, but we are also seeing a clear acceleration into alternatives and selective retail as investors rebalance portfolios and pursue diversification.”