NEW DELHI: India’s real estate sector witnessed a robust start to 2025 with a series of high-value transactions led by REITs, global private equity (PE) firms, and strategic domestic consolidations. The top ten deals of Q1 alone contributed over $1 billion, according to a report by Grant Thornton Bharat.
Leading the quarter was Mindspace Business Parks REIT’s $234 million acquisition of Sustain Properties, involving 1.82 million sq ft of Grade A office space in Hyderabad’s Commerzone Raidurg.
“PE continued to anchor deal activity, contributing to 88% of the total deal values with over 240% rise in deal volumes,
recording 17 deals amounting to $1.1 billion. Notably, REITs were active acquirers, expanding their portfolios of operational retail and commercial assets, together accounting for nearly 55% of total PE deal value amounting to $573 million.,” said Shabala Shinde, partner and real estate leader, Grant Thornton Bharat.
Capitaland India Trust invested $175 million in MAIA Estates Offices for a premium office development in Nagawara, Bengaluru.
Among residential-focused investments, Blackstone acquired a 40 per cent stake in Kolte-Patil Developers for $134 million, and Mitsubishi Estate took a 49 per cent stake in Birla Estates for $64 million.
In the real estate tech space, Alpha Wave Ventures II, LP invested $144 million in I-ven Realty, while a consortium led a $123 million round in Hella Infra Market (Infra.Market).
“Commercial and residential construction and development remained a key driver this quarter, buoyed by rising demand
for office and retail spaces. Early-stage investments in Hbits Proptech reflected growing investor interest towards
flexibility, tech integration and operational agility,” said Shinde.
Additionally, DLF Home Developers acquired a 50 per cent stake in DLF Urban for $57 million. Meanwhile, Capricon Realty invested $5 million for a minority stake in Hbits Proptech.
On the smaller end of the M&A spectrum, Yogi acquired a 60 per cent stake in Farewell Real Estates for $0.6 million, and Nitco acquired 100 per cent of Rejoice Reality for $0.2 million.
