NEW DELHI: Real estate has comprised the highest share of investments from alternate investment funds (AIF) in the H1 FY25, totaling nearly Rs 75,468 crore, which accounts for 17% of the total AIF investments of Rs 4,49,384 crore across various sectors, according to Anarock.
In the first nine months of this year alone, the real estate sector saw Rs 28,560 crore raised through private equity investments, according to Anarock Capital. Real estate accounted for 17% of total sectoral investments this year. Rs 12,801 crore were also raised via qualified institutional placements (QIPs) within the same period.
Anuj Puri, chairman, Anarock Group said, “By the end of H1 FY25, total investments in the real estate sector via AIFs have risen from Rs 68,540 crore by FY 2024-end to Rs 75,468 crore. This is a significant 10% growth in just half the financial year.”
The AIF sector maintained a compound annual growth rate (CAGR) of 83.4%, between FY13 to FY24.
AIFs’ overall commitment across Indian sectors rose by over 340% from Rs 2,82,148 crore in FY19 to Rs 12,43,083 crore in H1 FY25.
Surge in AIF activity was largely driven by category II AIFs with a mix of real estate funds, private equity, debt funds, and fund of funds (FoF). Category II AIFs accounted for approx. 80% of total AIF commitments in the last five years.
Other sectors benefiting from AIF investments are IT/ITeS, financial services, NBFCs, banks, pharma, FMCG, retail, renewable energy, and others.
