India’s public market for Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) has witnessed an extraordinary surge in both volume and value over the last two years, reflecting heightened investor confidence in yield-generating instruments. According to data released by ICRA Analytics, trading volumes for public REITs skyrocketed by 399.54 percent since FY23, while InvITs registered a 128.23 percent increase over the same period.
REITs and InvITs are specialised investment vehicles that offer retail and institutional investors indirect access to commercial real estate and infrastructure projects, respectively—enabling broad-based participation in sectors that were previously limited to large asset holders.
The volume of traded public InvITs grew from 2,735 lakh units in FY23 to 6,242 lakh units in FY25, a year-on-year increase of 20.52 percent from FY24’s 5,179 lakh units. Simultaneously, public REITs reported exponential growth, climbing from just 3,273 lakh units in FY23 to 16,350 lakh units in FY25—a staggering 230.10 percent year-on-year rise from FY24’s 4,953 lakh units.
In value terms, traded InvITs touched ₹6,121 crore in FY25, compared to ₹2,840 crore in FY23 and ₹5,350 crore in FY24. Public REITs saw even sharper value appreciation, reaching ₹31,206 crore in FY25, up from ₹11,234 crore in FY23 and ₹12,120 crore in FY24—representing a 157.47 percent rise over the previous fiscal.
Madhubani Sengupta, Head of Knowledge Services at ICRA Analytics, attributed the REIT surge to institutional and retail investor appetite buoyed by a rebound in office demand and stable rental yields. She noted that market capitalisation of public REITs alone rose by 10 percent in FY24, reflecting renewed optimism in commercial real estate-backed securities.
The report further highlighted a growth in retail investor participation, as the total number of unitholders in REITs and InvITs combined rose by 8.23 percent to 67.23 crore in FY25, from 62.12 crore in FY24. Currently, five InvITs and four REITs are publicly traded on Indian exchanges.
The performance of these instruments demonstrates a clear shift in investor preference toward structured, yield-oriented products—supported by favourable market conditions and regulatory transparency. Analysts anticipate that sustained growth in commercial property rentals and infrastructure development could drive continued momentum in the REIT and InvIT space.
