India’s retail REIT market set to touch Rs 80,000 crore by 2030: Report

0
3

India’s Real Estate Investment Trust (REIT) ecosystem, long dominated by commercial office assets, is on the brink of a major transformation. The next wave of growth is expected to emerge from retail malls, shopping centres, and mixed-use developments, according to a new report by ANAROCK Research released on Thursday.

By 2030, the country’s retail REIT market could be worth between Rs 60,000 crore and Rs 80,000 crore — accounting for 30–40 per cent of the projected Rs 2 lakh crore REIT universe. The expansion will be driven by consolidation of quality retail assets, steady consumer spending, and rising urban incomes, the report said.

Retail REITs poised to gain ground

At present, India’s listed REIT space is largely dominated by office assets, with only one retail-centric REIT in operation. ANAROCK expects the launch of two to three new retail REITs over the next three to five years as more institutional portfolios become partially listed.

Add Zee Business as a Preferred Source

Add Zee Business as a Preferred Source

TRENDING NOW


“Grade A malls are now maturing into stable, income-generating assets,” said Anuj Kejriwal, CEO and MD, ANAROCK Retail. “Our estimate of the Indian retail REITs’ potential to become an Rs 60,000–80,000 crore market in the next five years assumes only partial listings of various institutional portfolios.”

The report adds that this trend mirrors mature global markets, where retail REITs account for 15–25 per cent of the total REIT market capitalisation.

Tier-II cities emerging as new hotspots

Institutional developers are progressively focusing on high-income and consumption-oriented Tier -II cities which are Indore, Coimbatore, Surat, Bhubaneswar, and Chandigarh. The big guns like Phoenix Mills, Prestige Estates, and Nexus Malls are getting into these areas with aggressive expansion.

“The top five mall owners will control 60 per cent of the overall organised stock. New retail REITs will institutionalise the market further. We will see a wave of mixed-use redevelopment, with older malls repurposed into integrated lifestyle districts,” the report noted.

Surge in new mall supply

According to ANAROCK Retail’s RELEAP H1 2025 report, the first half of 2025 saw 2.8 million sq. ft. of new mall space added across India’s top seven cities — a 155 per cent increase over 2024, when 1.1 million sq. ft. was delivered.

New projects now average 1–1.2 million sq. ft., with entertainment, food and beverage (F&B), and lifestyle retail together accounting for nearly half of the upcoming space.

Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: zeebiz.com