India is poised to see the launch of two to three retail real estate investment trusts (REITs) within the next three to five years, as the country’s retail REIT market is projected to reach Rs 600–800 billion by 2030, according to a report by Anarock. This would represent around 30–40 per cent of India’s total REIT market, which is expected to be worth Rs 2 trillion by 2030. As of mid-October 2025, India’s total REIT market capitalisation stands at approximately Rs 1.67 trillion, with retail REITs accounting for around 15 per cent of the market value. Retail REITs to Drive Next Growth Phase While commercial office assets currently dominate India’s REIT ecosystem, Anarock noted that the next wave of growth will come from retail malls, shopping centres, and mixed-use developments. The trend is being fuelled by the consolidation of high-quality retail assets, steady consumer spending, and rising urban incomes. Anuj Kejriwal, CEO and MD of Anarock Retail, said, “Out of India’s five listed REITs, four are office-focused and only one — Nexus Select Trust — is retail-centric. With Grade A malls maturing into stable, income-generating assets, we expect two to three new retail REITs to launch over the next few years.” Kejriwal added that Anarock’s projection of a Rs 600–800 billion retail REIT market assumes partial listings of various institutional retail portfolios over the next five years. Institutional Players and Market Consolidation India’s major institutional retail players include Blackstone-backed Nexus Malls, The Phoenix Mills, K Raheja Corp, DLF, Pacific, and Lakeshore, all of which own significant shopping mall portfolios. By 2030, the top five mall developers are expected to control 60 per cent of India’s organised retail stock. The emergence of new retail REITs is set to further institutionalise and deepen the retail property market. “Retail is no longer an afterthought in real estate portfolios,” said Kejriwal. “It is now emerging as a resilient, high-yield asset class, ready for institutional scale and public market participation.” Tier-II Cities: The New Growth Frontier The report highlights that tier-II cities such as Indore, Coimbatore, Surat, Bhubaneswar, and Chandigarh are attracting institutional developers for the first time. Developers including Phoenix Mills, Prestige Estates, and Nexus Malls are expanding rapidly into these high-income, consumption-driven markets. New mall projects averaging 1–1.2 million sq ft are being planned, with entertainment, food and beverage (F&B), and lifestyle retail accounting for nearly half of total new mall space. With increasing consumer spending, organised retail expansion, and favourable investor sentiment, the retail REIT segment is expected to become a cornerstone of India’s property investment landscape by the end of the decade.