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

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

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.

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. 

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