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India's REIT Market: Projected to Exceed $25 Billion by 2030

Summary

India's REIT market is projected to exceed $25 billion by 2030, driven by strong commercial real estate demand and favorable policies. REITs offer investors accessible, liquid, and diversified exposure to income-generating properties.

September 13, 2025
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India’s REIT Market Set to Cross $25 Billion by 2030 – CREDAI-Anarock Report

Introduction

The Indian real estate sector is on the cusp of a major transformation, with Real Estate Investment Trusts (REITs) emerging as one of the most promising avenues for property investment. According to the CREDAI-Anarock REIT report, the REIT India market is projected to cross a staggering $25 billion by 2030. This milestone reflects not only the maturity of the Indian real estate market but also the rising confidence of domestic and global investors in India’s commercial real estate segment.

As REITs continue to evolve, they are set to redefine the future of property investment in India and open doors for investors across all scales.

What is a REIT and Why It Matters

A Real Estate Investment Trust (REIT) is a financial structure that allows investors to pool money into income-generating real estate assets, such as commercial office spaces, malls, and hospitality projects. Much like mutual funds for real estate, REITs:

Offer fractional ownership in high-value properties.

Generate stable rental income distributed among investors.

Provide liquidity since REITs are traded on stock exchanges.

The rise of REITs in India has democratized access to real estate, enabling retail investors to participate in commercial property markets once dominated by institutional players.

The CREDAI-Anarock Report – Key Highlights

The CREDAI-Anarock REIT report sheds light on the potential of real estate investment trusts in India 2025 and beyond. Key findings include:

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The India REIT market growth 2030 is expected to surpass $25 billion in market capitalization.

Office space will continue to dominate REIT portfolios, driven by India’s IT and services sector.

New asset classes like logistics, retail, and data centers are likely to be included in REIT structures.

Favorable policy reforms and tax clarity will further boost investor participation.

This outlook cements India’s position as one of the fastest-growing REIT markets globally.

Why India’s REIT Market is Booming

Several factors are fueling the rapid growth of REIT investment opportunities in India:

Strong Commercial Real Estate Demand: Office leasing continues to grow, supported by multinational corporations and startups.

Policy Support: SEBI and the government have introduced investor-friendly norms for REIT listings and taxation.

Urbanization: India’s expanding urban workforce increases demand for Grade A office and retail spaces.

Global Investor Interest: Foreign institutional investors view REITs as a safe and structured entry into India’s real estate market.

These drivers explain why the growth forecast of REITs in the Indian real estate sector remains highly optimistic.

The Role of Office Spaces in REITs

Currently, India’s listed REITs are largely concentrated in the commercial office space segment. With IT and professional services dominating India’s economy, demand for high-quality office spaces remains resilient.

Top cities like Bengaluru, Hyderabad, Mumbai, and Delhi NCR are hubs of REIT-owned office assets.

Rising office space absorption ensures stable rental yields for REIT investors.

Corporates prefer modern, sustainable workspaces, pushing developers to include them in REIT portfolios.

This trend directly supports the future of commercial real estate in India and aligns with global investment strategies.

Emerging Asset Classes – Beyond Offices

The CREDAI-Anarock report on REITs and commercial property suggests that the next phase of REIT growth will go beyond offices:

Retail Real Estate: Shopping malls and high-street retail spaces may soon be included in REITs.

Logistics and Warehousing: The boom in e-commerce drives demand for large-scale logistics hubs.

Data Centers: With digital infrastructure expanding, data centers are becoming investment-worthy assets.

Hospitality: Hotels and serviced apartments could add diversity to REIT portfolios.

These new inclusions make investment opportunities in India’s $25 billion REIT market more attractive and future-proof.

Benefits of REITs for Investors

For both retail and institutional investors, REITs provide multiple advantages:

Accessibility – Enables small-ticket investments in large commercial assets.

Liquidity – Listed on exchanges, REITs can be easily bought and sold.

Diversification – Exposure to multiple properties reduces risk.

Stable Returns – Rental income distribution ensures regular dividends.

Transparency – Regulated by SEBI, REITs maintain high compliance standards.

These factors are why REIT investment opportunities in India are gaining traction at a rapid pace.

Government and Regulatory Push

Policy frameworks have played a critical role in fostering the India REIT market growth 2030:

SEBI’s simplified REIT norms lowered minimum subscription amounts, opening the market to retail investors.

Tax incentives such as exemption on certain dividends encourage participation.

Ease of compliance for developers makes REITs a more attractive monetization route.

The regulatory support ensures that REITs remain an integral part of the future of commercial real estate in India.

Global Context – India in the World REIT Market

Globally, REIT markets in the US, Singapore, and Australia are well established, with trillions in assets. India, although newer, is catching up quickly:

With $25 billion market size by 2030, India will emerge as Asia’s next REIT hub.

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Global investors are actively looking at India’s commercial real estate for long-term returns.

The growth also signals India’s economic resilience and real estate maturity.

This international confidence further validates the CREDAI-Anarock REIT report projections.

Challenges Ahead

Despite strong growth potential, the REIT market in India faces some challenges:

Awareness: Retail investors still lack deep knowledge about REITs.

Market Depth: Limited listed REITs restrict diversification opportunities.

Regulatory Evolution: Continuous updates are needed to align with global practices.

Economic Volatility: Office space demand may fluctuate due to remote work trends.

However, these are transitional issues, and with increasing awareness, REITs will gain momentum.

Conclusion

The findings of the CREDAI-Anarock REIT report highlight a promising future for India’s real estate sector. With the Indian REIT market expected to cross $25 billion by 2030, investors stand to gain from structured, transparent, and high-yield property investments.

From commercial office spaces to emerging asset classes like logistics, retail, and data centers, REITs will play a transformative role in shaping the future of commercial real estate in India.

As awareness grows and regulations evolve, real estate investment trusts in India 2025 and beyond will become a preferred choice for investors seeking stability, liquidity, and long-term wealth creation.

100-Word Summary

India’s REIT market is set to cross $25 billion by 2030, according to the CREDAI-Anarock REIT report. Real estate investment trusts in India are gaining traction as they offer retail and institutional investors access to commercial real estate with stability, liquidity, and transparency. Currently dominated by office spaces, REITs are expected to expand into retail, logistics, data centers, and hospitality in the coming years. With strong demand, supportive policies, and rising investor interest, the future of commercial real estate in India looks promising. This growth forecast positions India as one of Asia’s fastest-emerging REIT markets by 2030

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FAQ

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