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Mumbai and New Delhi have secured positions among the top 10 most preferred cities for cross-border real estate investment in the Asia-Pacific (APAC) region, according to CBRE's 2025 Asia-Pacific Investor Intentions Survey.
Mumbai ranked 5th, trailing only Tokyo, Sydney, Singapore, and Ho Chi Minh City, while New Delhi tied for the 8th spot alongside Seoul, Osaka, and Hanoi. The survey highlighted a growing net buying intention across the APAC real estate market, with over half of respondents planning to increase their investments in 2025. In India, net buying intentions reached 3 per cent, driven primarily by developer/owner/operators, real estate funds, and institutional investors. Investor sentiment in India is fueled by demand across asset classes such as office, residential, industrial, and data centres. The survey revealed that equity investment in Indian real estate reached an all-time high of USD 11.4 billion in 2024, marking a 54 per cent year-on-year increase. Notably, Singapore, the United States, and Canada accounted for over 25 per cent of total foreign equity investments, with Singapore contributing a significant 36 per cent share. Anshuman Magazine, Chairman and CEO of CBRE for India, South-East Asia, Middle East and Africa, commented, "Investment in India's real estate market reached a record high in CY2024. While the landscape was primarily dominated by domestic investors, foreign equity investments and a significant resurgence of capital deployment across asset classes by overseas investors stand as a testament to India's growing prominence as a global real estate destination." Investors in Mumbai and New Delhi are increasingly adopting value-add and opportunistic strategies, exploring core office products in tier-1 cities and development opportunities such as residential and data centre projects. Environmental, Social, and Governance (ESG) initiatives have also emerged as a key focus, with 56 per cent of investors prioritizing green building acquisitions or developments, and 46 per cent focusing on retrofitting existing assets. Tokyo retained its position as the top destination for cross-border investment in the APAC region for the sixth consecutive year, followed by Sydney and Singapore. Sydney's appeal lies in its higher returns, while Singapore offers a stable and reliable market. Net buying intentions across the APAC region surged from 5 per cent in 2024 to 13 per cent in 2025, driven by falling debt costs and asset repricing. Greg Hyland, Head of Capital Markets, Asia Pacific at CBRE, stated, "Even though expectations for significant rate cuts have tempered due to persistent inflation, we still expect investment activity to accelerate in 2025 as they start to take effect across the region" Industrial properties remain the top asset class for investors in the region, particularly for core investments. Meanwhile, interest in office and data centre assets has increased, with Southeast Asia emerging as a hotspot for data centre investments due to opportunistic pricing. (ANI)
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