Indian REITs Offer 6-7.5 per cent Yield, Surpassing Many Global Markets

17 Sep 2025 CW Team

Credai, the apex body of Indian real estate developers, and property consultant Anarock released the report Indian REITs – A Gateway to Institutional Real Estate at an event in India.

Currently, India has five listed REITs – Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, Nexus Select Trust, and Knowledge Realty Trust. Nexus Select Trust primarily invests in rent-yielding retail real estate (shopping malls), while the other four focus on office assets.

“Average distribution yields of Indian REITs range between 6 per cent and 7.5 per cent, competitive with fixed-income instruments but with the added potential for capital appreciation,” the report noted.

Globally, India still lags mature REIT markets such as the US, Singapore, and Japan in asset-class diversification. However, the risk-adjusted returns remain attractive. The average yield in the US is 2.5–3.5 per cent, Singapore 5–6 per cent, and Japan 4.5–5.5 per cent.

Shobhit Agarwal, CEO of Anarock Capital, commented, “Indian REITs are late to the party, but now lead the dance. Despite its late entry compared to global peers, India has strong fundamentals.”

Shekhar Patel, President of Credai, added, “Over 60 per cent of India's REIT market value today rests with a very small set of players, concentrated in Grade A offices linked to IT and BFSI. The future, however, holds far wider promise. As cities grow, infrastructure strengthens, and the economy diversifies, REITs will expand into retail, logistics, housing, and new-age assets. This transformation will unlock unprecedented opportunities for investors.”

REITs are investment vehicles that own or operate income-generating real estate, enabling investors to earn a share of the income produced without directly purchasing properties.

Credai, which has over 13,000 members, is hosting its annual event, Credai-NATCON, with more than 1,000 delegates, including developers and property consultants, attending the three-day conference that began on September 11.

Indian Real Estate Investment Trusts (REITs) are delivering average yields of 6–7.5 per cent for unitholders, outperforming many mature markets, including the US, according to a report by Credai and Anarock.Credai, the apex body of Indian real estate developers, and property consultant Anarock released the report Indian REITs – A Gateway to Institutional Real Estate at an event in India.Currently, India has five listed REITs – Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, Nexus Select Trust, and Knowledge Realty Trust. Nexus Select Trust primarily invests in rent-yielding retail real estate (shopping malls), while the other four focus on office assets.“Average distribution yields of Indian REITs range between 6 per cent and 7.5 per cent, competitive with fixed-income instruments but with the added potential for capital appreciation,” the report noted.Globally, India still lags mature REIT markets such as the US, Singapore, and Japan in asset-class diversification. However, the risk-adjusted returns remain attractive. The average yield in the US is 2.5–3.5 per cent, Singapore 5–6 per cent, and Japan 4.5–5.5 per cent.Shobhit Agarwal, CEO of Anarock Capital, commented, “Indian REITs are late to the party, but now lead the dance. Despite its late entry compared to global peers, India has strong fundamentals.”Shekhar Patel, President of Credai, added, “Over 60 per cent of India's REIT market value today rests with a very small set of players, concentrated in Grade A offices linked to IT and BFSI. The future, however, holds far wider promise. As cities grow, infrastructure strengthens, and the economy diversifies, REITs will expand into retail, logistics, housing, and new-age assets. This transformation will unlock unprecedented opportunities for investors.”REITs are investment vehicles that own or operate income-generating real estate, enabling investors to earn a share of the income produced without directly purchasing properties.Credai, which has over 13,000 members, is hosting its annual event, Credai-NATCON, with more than 1,000 delegates, including developers and property consultants, attending the three-day conference that began on September 11.

Infrastructure Urban

17 Sep 2025

DCPC Prepares for Special Campaign 5.0 with Focus on E-Waste

The Department of Chemicals and Petrochemicals (DCPC), Ministry of Chemicals and Fertilisers, is gearing up for Special Campaign 5.0, to be held from 2nd to 31st October 2025. The initiative will focus on e-waste disposal as per MoEFCC’s E-Waste Management Rules 2022, space optimisation, and enhancing workplace efficiency across field offices.Special Campaign 4.0, conducted between October 2023 and October 2024, delivered notable results in record management, grievance redressal, scrap disposal, and cleanliness drives.Key outcomes of Special Campaign 4.0Records management: 2,443 physical fil..

Real Estate

17 Sep 2025

BlackRock India Leases 1.4 Lakh Sq Ft in Bengaluru

BlackRock Services India, the domestic arm of global asset manager BlackRock, has leased 1.4 lakh sq ft of office space at IndiQube Symphony in Bengaluru, according to Propstack data. The 10-year deal is valued at around Rs 4.10 billion.The lease, among the largest transactions in India’s co-working sector, highlights the growing preference of global institutions for flexible office providers. The agreement, commencing October 1, 2025, covers ground plus five floors in KNG Tower 1 at Ashoknagar, MG Road — one of Bengaluru’s prime commercial hubs.As per the lease document, BlackRock will ..

Infrastructure Transport

17 Sep 2025

L&T Bags Rs 25–50 Bn Order for Mumbai-Ahmedabad Bullet Train Track Works

Larsen & Toubro’s (L&T) Transportation Infrastructure business has secured an order valued between Rs 25 crore and Rs 50 billion from the National High Speed Rail Corporation Limited (NHSRCL) for the Mumbai-Ahmedabad High Speed Rail (MAHSR) corridor.The contract, Package T1, involves the design, supply, construction, testing, and commissioning of 156 route km of high-speed ballastless track on a Design-Build Lump Sum Price basis. The stretch runs from Mumbai’s Bandra-Kurla Complex to Zaroli village in Gujarat and includes 21 km of underground track and 135 km of elevated viaduct.Se..