The estimate covers the top seven cities by 2029, with office assets expected to account for 65.3% of total gross asset value (GAV).
India’s REIT ecosystem has expanded to 174 million sq ft in 2025 across five listed REITs operating 33 million sq ft in 2019. Their share in Grade A office stocks has increased from 4.2% in 2019 to 15% by June 2025.
REIT market capitalization has grown at 40% CAGR in six years, reaching Rs. 26,400 crore by September 2025 to Rs. 1.6 lakh crore has happened.
Five REITs have Rs. 23,000 crore is the untapped debt capacity at a conservative 35% GAV ratio.
Live events
“India’s REIT sector has evolved from a nascent concept to an attractive investment vehicle…India’s five REITs have about Rs 23,000 crore of available borrowing capacity at a conservative 35% of market value. This gives them significant firepower to acquire premium properties and expand their portfolios,” said Senior Lata of Markets and Capital India. JLL.
According to him, as the market sees continued expansion with strategic acquisitions and stable net operating income (NOI) growth across the sector, Indian REITs are proving their value as stable, income-generating vehicles that provide investors with direct access to India’s thriving commercial real estate market.
“The pipeline of institutional-grade supply coming into the office and retail segments provides ready-to-deploy brownfield assets for accretive portfolio expansion. Looking ahead, we expect a potential 5-fold market expansion over the next 4 years from the current GAV of Rs 2.1 trillion, with potential for growth in emerging assets and IT segments as well. An ecosystem that appeals to a broad spectrum of investors,” said Samanthak Das, Chief Economist and Head of Research and REIS, India, JLL.
Net operating income (NOI) growth has been positive among listed REITs. Embassy REIT maintained the highest absolute NOI, while Brookfield posted a 31% CAGR and expanded its portfolio from four to eleven properties by September 2025. Embassy and Mindspace have seen steady growth from large initial portfolios. Nexus Select Trust has posted a 6% CAGR in NOI since its listing in May 2023, JLL India said.
With stable payouts in the first half of fiscal 2026, the distribution yield was between 6% and 7% in fiscal 2025. Total GAV on four office REITs at 40% CAGR at Rs. 33,000 crore to Rs. 2.1 lakh crore has happened. Nexus has recorded 10% CAGR in GAV since listing. Office occupancy among listed REITs is 91%.
Institutional holdings have increased sharply. Embassy REIT’s sponsor stake has dropped from 70% to 8%, while institutional ownership has increased to 75%. Nexus Select Trust’s institutional holding has grown from 17% to 36% in a year.
SEBI’s decision to classify REITs as equity instruments in September 2025 is expected to support index inclusion and expand mutual fund participation.
JLL estimates that the office and retail markets together have a potential value of Rs. 10.8 lakh crore offering, 70 million square feet under construction and Rs. 2.1 lakh crore backed by planned supply. The available debt headroom is Rs. 23,000 crore, India’s five REITs have room to scale through acquisitions as the sector enters a multi-year growth phase.
(You can now subscribe to our ETMarkets WhatsApp channel)
