India is projected to require 1-1.5 billion sq ft of additional private education infrastructure by FY2035, driven by rising enrolments, growing private-sector participation and demand for quality education, according to a report by CBRE South Asia.

The report, Beyond Core: A 2035 View of India’s Alternate Sectors – Part I, estimates that private unaided K–12 schools will account for approximately 0.9 billion sq ft of incremental infrastructure demand, while private unaided higher education institutions will contribute another 0.4 billion sq ft.

The report identifies investment opportunities in scalable premium K–12 platforms, particularly in affluent urban markets. Institutional investors are also evaluating operating company–property company (OpCo–PropCo) models, which separate real estate ownership from academic operations. These structures can provide developers and property owners with lease or revenue-sharing income while enabling education providers to expand.

“India’s growing requirement for education infrastructure presents opportunities for real estate developers and institutional investors. As private education providers expand their presence across markets, scalable infrastructure and operating models can support long-term growth,” said Anshuman Magazine, Chairman and CEO, India, South-East Asia, Middle East and Africa, CBRE. He added that partnerships between developers and established education operators could help meet the demand.

The report also points to a geographical shift in education infrastructure development. While metropolitan markets continue to anchor organised private schooling and higher education, select tier-II cities are attracting investor interest as institutions explore regional expansion.

In higher education, the entry and planned expansion of international universities, supported by an evolving regulatory framework, could create further demand for academic infrastructure within established commercial and institutional ecosystems.

“Education real estate requires a selective, market-led investment approach, given the differing demand dynamics and operating requirements across K–12 and higher education,” said Rami Kaushal, Managing Director, Consulting and Valuation Services, India, Middle East and Africa, CBRE. He noted that project viability would depend on location, infrastructure suitability and partnerships with credible education operators.