Indian market is growing rapidly. Foreign companies are also planning to invest heavily here. Especially in the real estate sector, foreign companies are thinking of investing money and some have already invested. Japan’s largest property developer Mitsui Fudosan may make new investments of 30-35 billion yen ($190-$225 million) or more in Indian property projects, Reuters reported quoting sources. Mitsui Fudosan entered India in 2020 and partnered with local developer RMZ Real Estate to build an office complex in Bengaluru.
RMZ real estate Declined to comment. But CEO Avneesh Singh told Reuters that now that trust has been built with local partners, Japanese developers are working faster. He said that floodgates can and have opened. This means that now large scale investment can come.
Japanese company invested
Sumitomo Realty & Development, Japan’s third-largest developer, has already invested $6.5 billion in five projects in Mumbai city. This also includes two new lands taken this year. According to sources, the company is also looking at land around the soon-to-be-opened Navi Mumbai Airport.
Other Japanese developers in the Indian market include Daibiru Corp, which started last year by investing in office deals in two cities. Anand Jayaraman, South Asia CEO of its parent company Mitsui OSK Lines, said that now the company is looking for land and in future can also build residential buildings and data centers.
These companies are also included
It is not only Japanese investors who are rushing to take advantage of the Indian property market. American investment firm Blackstone is India’s largest commercial landlord. Nearly half of its $50 billion Indian assets are in real estate. India is rapidly emerging as one of the best real estate investment markets in Asia Pacific, as new investment platforms, large institutional investments and growing asset-classes have transformed the entire real estate environment.
Foreign investors are investing huge amounts of money in India’s real estate sector because India’s strong growth potential, increasing demand for homes and offices, expanding logistics sector and stable property values all together create a strong and reliable environment. Indian real estate provides the right balance for global investors looking for long-term gains, inflation protection and growth opportunities in an emerging economy.
Investing beyond traditional real estate
Investment in India is no longer limited to just offices and houses. Investors are also investing their capital in other sectors. Such as logistics, data centres, industrial parks, senior living, land buying funds and development based strategies. Purpose-built platforms and dedicated funds demonstrate that the entire ecosystem is maturing, with private equity firms, sovereign funds and domestic institutions investing in income-yielding assets as well as new asset creation and value-enhancing opportunities.
According to Westian Research, foreign investors contributed 54% of the total institutional investment in 2024, which was USD 3.7 billion. In 2023 this share was 65%. According to government reports, the industrial and warehousing sector grew by 190% year-on-year.
Investment trend in APAC towards India
According to Colliers’ 2026 Global Investor Outlook report, investment is moving towards the Asia Pacific (APAC) region. Investors are returning to the real estate market with new expectations. The report said that strong economic conditions in major markets, stable prices and increasing liquidity are promoting investment. The growing importance of APAC, fast economy, increasing growth due to technology and growing middle class are giving India the biggest benefit of this change.
Although Japan, Australia and Singapore are still major centers of cross-border capital, investors are increasingly moving towards India due to higher returns and bigger investment opportunities. India’s strong macroeconomic position, growing digital infrastructure and large development projects have further strengthened India’s place in APAC. Investors, both domestic and foreign, are ready to take advantage of the growing institutional-grade assets available in India.
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