Generative AI (GenAI) could significantly improve operational efficiency and business performance across India's real estate sector, with developers potentially achieving 30-50 per cent higher sales velocity and around 30 per cent faster project launches, according to a joint report by EY-Parthenon and CREDAI.

Titled GenAI in Indian Real Estate, the report highlights how AI-driven customer intelligence, automated design workflows and predictive project monitoring are reshaping the real estate value chain, enabling a shift towards more intelligence-led operations.

According to the report, early adopters of GenAI could benefit from a 20-50 per cent improvement in workforce productivity, a 20-50 per cent reduction in customer acquisition costs and substantially faster decision-making cycles. The study suggests that GenAI-led transformation could unlock two to three times enterprise value over the short to medium term by accelerating project timelines and improving operational efficiency.

"GenAI is fast becoming central to value creation and competitiveness, making inaction a growing strategic risk," said Chaitanya Seth, Partner – Real Estate Practice, EY-Parthenon India. "This is not about incremental digitisation; it is about rewiring the operating model, redefining customer experience and building brands that scale faster and sell smarter."

The report estimates that GenAI could contribute US$14-17 billion to the sector's Gross Value Added over the next seven years, representing a three to four per cent uplift in real estate value. At the national level, the technology could add between US$359 billion and US$438 billion to India's GDP by 2030.

The study also highlights benefits across the development lifecycle, including a 50 per cent reduction in deal evaluation time, 30-35 per cent faster land-closure processes and the ability to assess 2.5 times more transactions through automated feasibility modelling and financial scenario generation.

Shekhar G Patel, President, CREDAI, said the next phase of growth in Indian real estate will be driven by intelligence, speed and better decision-making. He noted that GenAI has the potential to improve project execution, enhance customer experiences and help developers respond more effectively to evolving market requirements.

The report identifies opportunities for GenAI across land acquisition, project planning, design, construction management, sales, marketing and post-sales services, positioning artificial intelligence as a key enabler of future growth and competitiveness in the sector.