Institutional investments in realty dips 37%

NEW DELHI: Institutional investments in real estate fell 37 per cent annually in the October-December quarter of last year to $822.3 million as fund inflows were less in all asset classes, according to Colliers.

Real estate consultant Colliers India data showed that institutional investments in real estate stood at $822.3 million during October-December 2023, as against $1,299.40 million in the year-ago period.

Mixed use projects did not attract any investments in the fourth quarter of 2023, as against $54.9 million in the year-ago period.

The institutional flow of funds includes investments by family offices, foreign corporate groups, foreign banks, proprietary books, pension funds, private equity, real estate fund-cum-developers, foreign-funded NBFCs and sovereign wealth funds.

During the entire 2023 calendar year, institutional investments in real estate grew 10 per cent to $5,380.40 million, from $4,877.90 million in the previous year.

The office segment dominated in fund inflow with a 53 per cent rise in investment to $3,022.50 million during last year, from $1,978.30 million in the 2022 calendar year. In housing, the investments rose 20 pc to $788.9 mn in 2023, from $655.6 mn in the previous year.