Indian realty sector saw 22 deals worth USD 1.8 billion in April-June: Report

Commercial development dominated the overall deal activity.

New Delhi: The Indian realty sector saw 22 deals at $1.8 billion in the April-June quarter (Q2) in FY25, an uptick in both volume and value signalling a substantial inflow of investment into the sector, a report showed on Thursday.

The quarter was characterised by the dominance of commercial development, residential development activity, private equity influence and technological integration.

Commercial development dominated the overall deal activity, accounting for 37 per cent of the volumes and an impressive 75 per cent of the values, according to the report by Grant Thornton Bharat.

“The first half of 2024 has already reached close to the total deal value of 2023 and has seen a marked increase in private equity investments and high-value transactions, reflecting renewed investor confidence and robust economic recovery,” said Shabala Shinde, Partner and Real Estate Leader.

With the urban population projected to reach 600 million by 2031, the future of India’s real estate market appears promising, fuelled by sustainable and technology-driven advancements, Shinde added.

The mergers and acquisitions (M&A) activity saw seven deals at $123 million, a 133 per cent increase in volumes and a whopping 248 per cent increase in values from the previous quarter.

The private equity (PE) activity saw a 33 per cent increase in volumes and a 757 per cent increase in values, with 12 deals at $1.4 billion, the report noted.

There were two IPOs with a combined issue size of $88 million, compared to no IPO activity in Q1 of 2024.

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