the indian real estate market continues to captivate global attention drawing institutional investments of 47 billion dollars between january and september 2024 of this a significant 133 billion dollars came from asia pacific apac investors marking their 28 percent share in the total investment pool this surge underscores india’s growing appeal as a top tier investment destination foreign investments accounted for 69 percent of the total inflow with singapore and the united states leading the charge contributing equally at 21 percent each according to colliers apac investors are increasingly aligning their portfolios with the dynamic opportunities in india’s real estate sector the rising role of apac investors colliers survey reveals an optimistic outlook among apac investors with 69 percent of respondents planning to allocate over 30 percent of their global assets under management aum to real estate within the next five years this shift highlights a growing appetite for diversified investments as evidenced by a 10 percent allocation of apac investments to industrial and logistics sectors this trend is driven by assets such as data centers last mile logistics and cold storage with a particular focus on markets like japan australia and south korea office and industrial sectors apac’s top choices the industrial and office real estate sectors remain at the forefront of apac investors priorities for 2025 according to piyush gupta managing director of capital markets and investment services at colliers india the office sector is experiencing robust growth this growth is fuelled by global capability centers gccs and rising domestic demand gupta explains equity capital in indian real estate is becoming increasingly diversified with domestic capital playing a larger role in recent years meanwhile industrial and logistics real estate continues to attract attention as chris pilgrim colliers managing director of global capital markets asia pacific observes investors are targeting high demand alternatives like senior living life sciences and cold storage however the challenge lies in the lack of investable grade assets in these sectors a global issue expected to persist through 2025 the residential market a hotbed for innovation india’s residential real estate market is also undergoing significant transformation in tier i cities there is increasing investor participation in joint venture platforms and redevelopment projects vimal nadar senior director and head of research at colliers india notes that this growth reflects the sector’s evolving dynamics residential real estate is poised to attract more investment driven by urbanization and a rising preference for premium projects in top tier cities looking ahead challenges and opportunities despite the momentum the real estate market faces challenges including a limited supply of investable grade assets in sectors like senior living and life sciences however experts remain optimistic about the sector's long term potential diversification across asset classes and geographies is becoming a key strategy for investors as global and domestic capital continues to flow india’s real estate market is poised for sustained growth with strategic investments and a focus on emerging sectors the future looks promising for this dynamic industry