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PE inflows in Indian realty hit record $3.9 bn in 2024: Biggest deals of Q3

Industrial & logistics sector leads, attracting $1.7 billion in PE investments in Q3 2024

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Sunainaa Chadha NEW DELHI

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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.

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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. 

“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).

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First Published: Oct 08 2024 | 2:59 PM IST

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