Gurgaon, Mar 11 (TNT): Real estate investment across key Asia Pacific markets rose 8 per cent year-on-year to USD 162 billion in 2025, with India emerging as one of the fastest-growing markets in the region, according to a report by Colliers, Colliers, a global diversified professional services and investment management company.
The report, Asia Pacific Investment Insights March 2026, said transaction momentum strengthened in the second half of 2025 as buyers and sellers narrowed pricing gaps. Investments in H2 2025 reached USD 87.3 billion, registering an 11 per cent annual increase and a 17 per cent rise compared with the first half of the year, the report revealed.
The rebound in investment activity was seen across nine major Asia Pacific markets — Australia, Hong Kong, India, Japan, China, New Zealand, Singapore, South Korea and Taiwan, it said.
Among these markets, South Korea, Japan and Singapore accounted for the highest investment volumes during the year. Meanwhile, Singapore and India recorded the strongest growth in investment activity, rising 35 per cent and 29 per cent respectively.
Sector-wise, office assets remained the dominant investment category across the region, supported by strong occupier demand for high-quality properties and limited new supply in prime business districts, the report stated.
Office investments rose 21 per cent year-on-year to USD 58.5 billion, accounting for about 36 per cent of total real estate investments in 2025.
The industrial and logistics sector ranked second with investments of USD 30.1 billion, while retail investments increased 15 per cent during the year amid improving asset performance and consumer sentiment.
Alternative assets emerged as the fastest-growing segment, driven by strong institutional demand.
Badal Yagnik, Chief Executive Officer and Managing Director at Colliers India said “India continues to strengthen its position as a key investment destination within the APAC region.” He said foreign investors accounted for about 43 per cent of the USD 8.5 billion inflows into Indian real estate in 2025.
According to Vimal Nadar, National Director, Research at Colliers India, office properties remained the top preference for institutional investors in India as well, with investments of about USD 4.5 billion during the year, accounting for more than half of total institutional inflows.
The report noted that domestic capital continued to anchor investment activity across most Asia Pacific markets, while cross-border participation remained resilient in key gateway cities including Hong Kong, Singapore and India.
Theo Novak, Managing Director, Capital Markets & Investment Services, Asia Pacific at Colliers, said the region’s real estate investment market is entering a broad-based recovery phase supported by improving financial conditions and renewed investor confidence.
Colliers expects investment momentum across Asia Pacific real estate markets to strengthen further in 2026, supported by stabilising interest rates, improved financing visibility and a gradual recovery in cross-border capital flows.
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