India’s real estate market could grow to $7–10 trillion (Rs 580–830 lakh crore) by 2047.from about $0.4 trillion today, according to a Colliers–CII report released on November 6. The study projects that sustained policy reforms, heavy infrastructure investment and deeper institutional capital will turn the sector into one of India’s largest economic engines through the “Amrit Kaal” period.
The report expects real estate’s contribution to GDP to rise to nearly 20% by 2047 from 7% now, calling the shift “structural, not cyclical.”
Colliers–CII on real estate: Optimism with numbers
Colliers and CII outline a base-case projection of $7 trillion (Rs 580 lakh crore) by 2047 and an upper band of $10 trillion (Rs 830 lakh crore) if policy continuity and infrastructure delivery stay on track.
Reforms such as RERA, REIT regulations, and PM Gati Shakti have formalised the sector and improved its bankability. “Decades of fragmented growth couldn’t achieve what these structural reforms have,” the report notes, adding that investor confidence is back as transparency improves.
Colliers on infra, urbanisation, technology: Three levers
Infrastructure is the foundation. India will require over $2.4 trillion (Rs 2,00,000 lakh crore) in urban infrastructure by 2050 to meet housing, logistics and mobility demand. The National Infrastructure Pipeline and Gati Shakti are already opening growth corridors beyond metros.
Urbanisation will drive the next wave. The urban population, now about 500 million, is expected to touch 900 million by 2050, spurring massive housing and transport-led demand, the report added.
Technology will define the new frontier. Data-centre capacity is likely to jump from less than 1 GW to around 10 GW by 2047 as AI and cloud adoption accelerate building an entirely new asset class, as per the report.
Colliers on office and GCCs: Institutional core expands
Grade A office stock is set to cross 1 billion sq ft by 2030 and double again by 2047. Annual absorption should stabilise near 70–75 million sq ft, led by global capability centres (GCCs) and technology occupiers, as per the report.
GCC leasing could hit 60–65 million sq ft annually by 2026–27, forming nearly half of all new demand. “India remains the global nerve centre for cost-efficient, tech-enabled operations,” the report noted.
Sustainability is now standard, with most new projects green-certified to meet ESG mandates.
Colliers on housing: Affordability anchors demand
Housing remains the backbone. Annual sales could double to about 1 million units by 2047, with affordable and mid-income housing leading. Prices are expected to rise 5–10% annually, aided by stronger balance sheets and income growth, as per the report.
Developers have deleveraged post-Covid, and consolidation has tilted market share toward large players. Tier II and III cities Indore, Surat, Coimbatore and Lucknow among them are emerging as demand hubs backed by infrastructure and job creation.
Colliers on industrial and logistics: $2 billion sq ft frontier
Industrial and warehousing stock could exceed 2 billion sq ft by 2047, nearly triple current capacity. Manufacturing growth, 3PL expansion and e-commerce demand are driving large-format leases of over 2 lakh sq ft, now forming half of new deals, as per the report.
Colliers called logistics as “India’s new infrastructure backbone,” powered by EV, electronics and renewable manufacturing clusters across western and southern corridors.
Collier on retail and alternatives: New growth edges
Organised retail stock is expected to double by 2047, with a third of new supply coming from Tier II and III cities. Malls are shifting toward experience-led formats integrating dining, entertainment and digital features, making them REIT-ready, the report added.
Alternative assets data centres, co-living, student housing and senior living will expand fastest. Co-living beds may triple to 3 million; senior-living units could cross 1 million. Data centres, the standout, are on track to reach 10 GW IT load by 2047, as per Colliers.
Colliers on capital flows: REITs, AIFs and SWAMIH fund the boom
The report also highlighted the role of institutional investment. Since 2008, investors have deployed about $88 billion (Rs 7,30,000 crore), over half from foreign funds.
REITs’ share of market capitalisation could rise from 10% now to 40–50% by 2047. Grade A office REIT penetration may expand from 16% to nearly 70%, with retail and logistics REITs following, the report added.
Alternative investment funds (AIFs) have become key financiers. As of June 2025, total AIF commitments stood at Rs 5.72 lakh crore, with Rs 70,900 crore invested in real estate. The government’s Rs 15,000 crore top-up to the SWAMIH fund has already helped revive more than 1.2 lakh stalled homes.
Colliers on Tier II and III cities: New growth centres
The report identified 30 high-potential cities and singles out 17 with multi-segment growth potential including Surat, Visakhapatnam, Indore, Ayodhya and Shirdi. New airports, freight corridors and industrial nodes are making these cities viable alternatives to metros.
Flex-space operators, expected to drive 20–25% of leasing, are enabling decentralisation, supported by new expressways and regional infrastructure. Colliers called this “a rebalancing of geography, not just growth at the margins.”
Colliers on real estate sector: Risks and reality check
Execution delays, land constraints and rising costs remain key challenges. Financing for smaller developers is still patchy.
Colliers stresses the need for policy continuity, clarity on fractional ownership and small REITs, and robust data protection for digital assets. Macroeconomic stability and predictable regulation will determine whether India hits the $10 trillion mark or settles closer to $7 trillion.