 "PE inflows in Indian realty hit record $3.9 bn in 2024: Biggest deals of Q3")
Private equity investment inflows into the Indian real estate sector grew 9 per cent sequentially to touch $2.2 billion (Rs 186 billion) in the third quarter of 2024, more than double the investment volume recorded in the same period last year, according to a report by Savills India, a global real estate consulting firm. Additionally, the year to date (January-September 2024) inflows at $3.9 billion (Rs 329 billion) have exceeded the investment quantum registered in the entire year 2023.
Source: Savills India Research
Industrial & Logistics Sector Leads
The quarterly data indicates that industrial and logistics segment took the lead, with $1.7 billion (Rs 144 billion) capturing 77% of the total investment volume. This could be attributed to rising opportunities in the segment due to growing demand from e-commerce players and government’s push towards establishing India as a manufacturing hub.
The commercial office segment ranked second, garnering 21% of the overall PE investments. All investments in this sector came from foreign investors, focusing on core assets in cities like Chennai, Mumbai and NCR.
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“Despite global challenges, India witnessed heightened investment activity with year to date 2024 inflows surpassing all of 2023 investments, reflecting strong investor confidence on the back of a robust macroeconomic environment. The industrial & logistics segment takes the biggest share in quarterly investments, as diversification strategies take centre stage.” said Arvind Nandan, Managing Director, Research & Consulting, Savills India.
Key Transactions Q3 2024 - India
Major Deals:
- Abu Dhabi Investment Authority (ADIA) and KKR invested $1.537 million in Reliance Retail Ventures Limited.
- Keppel Limited invested $251 million in RMZ Corporation and CPP Investments.
- Mitsui Corp invested $119 million in Abu Dhabi Investment Authority (ADIA).