Real estate records highest PE investment in five years: Anarock
Real Estate

Real estate records highest PE investment in five years: Anarock

The Indian real estate sector has recorded the highest-ever private equity (PE) investments since FY2016 despite covid-induced disruptions.

According to a report by Anarock, more than $6.27 billion were invested into the sector in FY21 as against $5.8 billion in FY20, an increase of 19% in one year.

Unlike earlier, private equity investors in FY21 have focused mainly on portfolio deals across multiple cities and assets rather than on specific projects or cities. Such portfolio deals constituted 73% of the overall share, with nearly $4,583 million invested via portfolio deals in multiple cities.

Even as the Covid-19 pandemic adversely affected several industry sectors in FY21, the PE funds pumped into the real estate sector remained strong. As much as 93% of the total PE investments into the Indian real estate market were by foreign investors. In actual terms, investments by foreign PE funds almost doubled from $3 billion to $5.8 billion in FY21. In contrast, domestic PE funds invested merely $300 million compared to $420 million in FY20, the report said.

The average ticket size of PE deals increased by 62% in the fiscal year, from $110 million in FY20 to $178 million in FY2021. Both structured debt and equity witnessed strong growth during the year at 84% and 15%, respectively. Structured debt was largely towards portfolio deals instead of project-level assets.

Among the foreign PE investors that remained major contributors for overall PE inflows in India, the US and Canada-based investors pumped in more than 50% of the total foreign PE investments in FY21, the Anarock report said.

Image Source


Also read: New FDI norms will help revive construction and infrastructure

Also read: NRI investments in Indian real estate may grow at 12%: Report

The Indian real estate sector has recorded the highest-ever private equity (PE) investments since FY2016 despite covid-induced disruptions. According to a report by Anarock, more than $6.27 billion were invested into the sector in FY21 as against $5.8 billion in FY20, an increase of 19% in one year. Unlike earlier, private equity investors in FY21 have focused mainly on portfolio deals across multiple cities and assets rather than on specific projects or cities. Such portfolio deals constituted 73% of the overall share, with nearly $4,583 million invested via portfolio deals in multiple cities. Even as the Covid-19 pandemic adversely affected several industry sectors in FY21, the PE funds pumped into the real estate sector remained strong. As much as 93% of the total PE investments into the Indian real estate market were by foreign investors. In actual terms, investments by foreign PE funds almost doubled from $3 billion to $5.8 billion in FY21. In contrast, domestic PE funds invested merely $300 million compared to $420 million in FY20, the report said. The average ticket size of PE deals increased by 62% in the fiscal year, from $110 million in FY20 to $178 million in FY2021. Both structured debt and equity witnessed strong growth during the year at 84% and 15%, respectively. Structured debt was largely towards portfolio deals instead of project-level assets. Among the foreign PE investors that remained major contributors for overall PE inflows in India, the US and Canada-based investors pumped in more than 50% of the total foreign PE investments in FY21, the Anarock report said. Image Source Also read: New FDI norms will help revive construction and infrastructure Also read: NRI investments in Indian real estate may grow at 12%: Report

Next Story
Infrastructure Urban

TBO Tek Q2 Profit Climbs 12%, Revenue Surges 26% YoY

TBO Tek Limited one of the world’s largest travel distribution platforms, reported a solid performance for Q2 FY26 with a 26 per cent year-on-year increase in revenue to Rs 5.68 billion, reflecting broad-based growth and improving profitability.The company recorded a Gross Transaction Value (GTV) of Rs 8,901 crore, up 12 per cent YoY, driven by strong performance across Europe, MEA, and APAC regions. Adjusted EBITDA before acquisition-related costs stood at Rs 1.04 billion, up 16 per cent YoY, translating into an 18.32 per cent margin compared to 16.56 per cent in Q1 FY26. Profit after tax r..

Next Story
Infrastructure Energy

Northern Graphite, Rain Carbon Secure R&D Grant for Greener Battery Materials

Northern Graphite Corporation and Rain Carbon Canada Inc, a subsidiary of Rain Carbon Inc, have jointly received up to C$860,000 (€530,000) in funding under the Canada–Germany Collaborative Industrial Research and Development Programme to develop sustainable battery anode materials.The two-year, C$2.2 million project aims to transform natural graphite processing by-products into high-performance, battery-grade anode material (BAM). Supported by the National Research Council of Canada Industrial Research Assistance Programme (NRC IRAP) and Germany’s Federal Ministry for Economic Affairs a..

Next Story
Infrastructure Urban

Antony Waste Q2 Revenue Jumps 16%; Subsidiary Wins Rs 3,200 Cr WtE Projects

Antony Waste Handling Cell Limited (AWHCL), a leading player in India’s municipal solid waste management sector, announced a 16 per cent year-on-year increase in total operating revenue to Rs 2.33 billion for Q2 FY26. The growth was driven by higher waste volumes, escalated contracts, and strong operational execution.EBITDA rose 18 per cent to Rs 570 million, with margins steady at 21.6 per cent, while profit after tax stood at Rs 173 million, up 13 per cent YoY. Revenue from Municipal Solid Waste Collection and Transportation (MSW C&T) reached Rs 1.605 billion, and MSW Processing re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement