Delhi-NCR Tops Real Estate Investments with $633.3 Million in Private Equity, Reports Cushman & Wakefield
Delhi-NCR has set a new record by attracting $633.3 million in private equity investment for real estate during the first half of 2024, according to a recent report by Cushman & Wakefield. This influx highlights the region’s strong appeal, driven by high demand for premium office spaces and luxury housing.
The total real estate investment across six major Indian cities reached $3.9 billion from January to June 2024. Among these cities, Bengaluru led with $509.5 million, followed by Hyderabad at $319.9 million, Chennai with $234.7 million, Pune at $151.7 million, and Mumbai with $147 million.
In Delhi-NCR, the investment was split between office assets, which received $483.6 million, and residential properties, which attracted $149.6 million. The surge in office space investments, fueled by significant equity buy-outs by major fund houses, has been a major driver of this record-breaking figure. The residential sector, particularly in the high-end and luxury segments, has also seen sustained interest.
Somy Thomas, Managing Director of Valuation & Advisory and Capital Markets at Cushman & Wakefield, noted that the $3.9 billion in private equity inflows for the first half of 2024 already represents over 70% of last year’s total. This growth reflects robust investor confidence and a thriving real estate market in India. Thomas attributed the surge to the growing infrastructure-related sectors, such as logistics and industrial, supported by substantial public investments in economic corridors. He anticipates a strong year ahead for private equity in commercial real estate.
Amar Sarin, MD & CEO of Delhi-NCR-based TARC Ltd, highlighted that the region’s potential and the rising demand for luxury living validate the strong investment trends. Sarin noted that Delhi-NCR’s strategic location, developed infrastructure, and cosmopolitan culture make it a key hub for businesses and families, further boosted by government initiatives enhancing connectivity.
Shiwang Suraj, Founder & Director of Gurugram-based consulting firm InfraMantra, emphasized that Delhi-NCR’s superior infrastructure and connectivity, combined with the presence of numerous multinational companies, create a favorable environment for real estate investments. He predicts continued growth in the sector.
Sanjoo Bhadana, MD of Gurugram-based 4S Developers, reiterated that Delhi-NCR remains a top destination for real estate investment due to its strategic location, burgeoning economy, and growing population, offering substantial opportunities for capital appreciation and rental yields.