India’s real estate sector saw equity capital hit a record $9.5 billion in the third quarter of 2026, more than doubling the $4.4 billion recorded in the same period a year earlier. Most of the money went into data centers, offices and development land, not completed homes, according to CBRE’s latest report. The surge was led by data centers, offices, and development land, which together accounted for nearly 91% of total investments.
Demand for data center projects drove much of the growth, fueled by digitalization and AI-led demand. Within site acquisitions, land deals for office, residential, and data center developments absorbed 72% of capital, while mixed-use, retail, and logistics properties shared the remainder. Foreign investors contributed 59% of the quarter’s total, with U.S. buyers representing 90% of that share. Canadian, Singaporean, and Japanese firms also participated. Institutions accounted for about 79% of inflows, up from about 28% in the previous quarter. Developers secured 13% of the funding.
Geographically, Mumbai, Delhi-NCR, and Chennai collectively captured 53% of the investment, with additional deals spread across other cities. A separate allocation of $1.6 billion went toward new investment and development platforms in core and emerging segments. CBRE’s regional chairman described the quarter as a landmark moment, stating that global investors have come back with conviction, and he expects that confidence to last through the year.
Institutional interest has expanded to include income-generating built-up assets, infrastructure-linked assets and development sites, signaling a shift toward more diversified real estate strategies. In 2025, land and development sites made up 46% of annual inflows, while built-up offices accounted for 28%. This year’s distribution reflects a more balanced approach, with capital increasingly flowing into data centers, mixed-use developments, and logistics—sectors that had been less prominent in earlier years.