India’s Real Estate Investment Trust (REIT) sector has kept up with its performance of stability and attractiveness to investors in the Q2 of FY26. Publicly listed REITs in India have distributed the amount of over ₹2,331 crore to more than 3.3 lakh unitholders. These numbers that have been released by the Indian REITs Association (IRA), tell the story of how REITs have become not only a safe and reliable income-generating vehicle for investors, but also a major component of the Indian commercial real estate ecosystem.
The quarterly payouts are indicative of the investment environment that has evolved over time and in which REITs are more and more recognised as a stable asset class, thus, a good investment choice, in the face of changing market and economic cycles. The REIT market in India is a testimony to its growing size and the institutional and the real estate sector's growing sophistication in the country as it has a Total Gross Assets Under Management (AUM) of around ₹2,35,000 crore as of Q2 FY26.
India's 5 listed REITs comprising of Embassy Office Parks REIT, Mindspace Business Parks REIT, Brookfield India Real Estate Trust, Nexus Select Trust, and the newly listed Knowledge Realty Trust, are now the owners of the real estate that is more than 176 million sq. ft. of Grade A office and retail space combined. The REITs have been the vehicle to take commercial real estate, which is a stable income-yielding sector, to the organised capital markets, thus, offering the investors the access to rental streams, which were traditionally only available to the big institutional buyers, and these streams now become more stable than before.
The resilience of the REIT structure is very much visible in their strong performance this quarter. Talking about the sector's energy, Alok Aggarwal, Managing Director & CEO of Brookfield India Real Estate Trust and Chairperson of the Indian REITs Association, said, "The quarter performance of REITs (Real Estate Investment Trusts) listed in India is a loud testimony to their incredible strength, openness, and resilience that they extend to the domestic capital markets of the country."
He also noted that India’s REIT market is entering a more progressive phase with the addition of newer players. “The addition of the fifth REIT is proof of the growing maturity and confidence of investors and sponsors in this asset class. With a demonstrated track record of consistent distributions, expanding market capitalisation, and a robust portfolio of high-quality assets, Indian REITs are not just an investment avenue - but a catalyst for democratising real estate investment and driving long term value for a diverse range of stakeholders,” he said.
The five REITs, which include those from the Indian market, have since their start been able to return progressively more than ₹26,700 crore to unit holders. This is a remarkable number that speaks of their continued capability to generate returns even in periods of disruption to the cycle such as remote-work transition, global economic uncertainty and changes in corporate real estate strategies. The REITs have kept high occupancy levels, acquired strong tenant profiles and being located in the top urban hubs, have become an important part of the commercial real estate supply in India.
Till 14th November 2025, the total market capitalisation of the five listed REITs had exceeded ₹1.6 lakh crore, thus recording another major milestone. Such a continuing high valuation is a very positive signal of the investor confidence, the increased liquidity and the fact that REITs are becoming progressively recognized as a safe investment option in India's financial ecosystem.
The Indian REITs Association (IRA) supported by SEBI and the Ministry of Finance, is a non-profit organization, which is still very instrumental in policy engagement, regulatory support and industry development. All five listed REITs, being members of the IRA, are working with the association to deepen transparency, enhance investor awareness and facilitate the steady growth of the REIT market in India.
India’s Real Estate Investment Trust (REIT) market is set to grow hugely in terms of its total size that is expected to go up from ₹10.4 trillion in 2025 to ₹19.7 trillion by 2030. This information is based on the report released by Knight Frank India in collaboration with the Confederederation of Indian Industry (CII). The report, titled Commercial Real Estate: Potential is Built states that the Indian REIT ecosystem is going to be worth almost twice as much in the next five years. The growth path is sustained by full utilization of spaces, the implementation of tax benefits, and the spreading of REITs not only in acing new sectors such as industrial and logistics parks, data centres, and hospitality assets, but also in these asset classes.
With institutional investment rising, leasing momentum recovering across major commercial hubs, and new asset categories such as retail and mixed-use developments gaining ground, India’s REIT market is well-positioned for sustained future growth.
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