Equirus Capital, a leading full-service investment banking firm, has reported that India’s real estate sector has witnessed its highest capital inflow in seven years, with funds raised reaching ₹23,080 crore across 12 deals.

According to Equirus Capital’s analysis, the cumulative capital raised by the sector since FY18 stands at ₹72,331 crore. Of this, Real Estate Investment Trusts (REITs) accounted for the largest share at ₹31,241 crore, followed by large-cap real estate companies at ₹20,437 crore, mid-cap players at ₹12,496 crore, and small-cap firms contributing ₹8,156 crore.

Since March 2021, small-cap real estate stocks have emerged as the best-performing segment, followed by mid-cap realty players. In contrast, large-cap stocks have delivered comparatively modest returns, while REITs have been the weakest performers over the long term within the real estate equity space.

Over the past 12 months, REITs have outperformed all other real estate asset classes, delivering a 21.3% return. Meanwhile, large-, mid-, and small-cap real estate stocks have posted negative returns during the same period, reflecting a near-term correction amid broader market volatility.