Real Estate Land Deals Surge in India

New Delhi, Apr 22 (PTI) Real estate developers acquired around 900 acre land in January-March for nearly Rs 18,000 crore to build housing and commercial projects amid strong demand, according to JLL.

Real estate consultant JLL India noted that the land acquisition was strong in the last calendar year and the momentum continued in the first quarter of 2026.

As per the data, developers acquired over 3,093 acres of land across 149 transactions valued at Rs 54,818 crore in 2025, a 32 per cent year-on-year increase. These land parcels were bought in metro and tier-II cities.

"The strong momentum has continued into 2026, with approximately 900 acres acquired across key markets in Q1 2026, valued at nearly Rs 18,000 crore. This reflects strong developer confidence and sustained demand for land," JLL said.

Mumbai recorded the country's largest land deal by value in Q1 2026, with an 11-acre parcel selling for Rs 5,400 crore (Rs 490 crore per acre).

"2025 has been a record-breaking year for India's real estate sector, with developers acquiring approximately 3,000 acres of land across 20 major cities and investing close to INR 55,000 crore, a clear reflection of tremendous market confidence," said Lata Pillai, Senior Managing Director & Head of Capital Markets, JLL India.


She said the developers would require an estimated Rs 52,000 crore in external financing to build projects on these land parcels.

"As traditional banking channels face regulatory constraints and evolving risk appetites, this substantial capital requirement presents compelling opportunities for Alternative Investment Funds (AIF) and private credit providers to deploy innovative, tailored financing solutions that address diverse funding needs across project lifecycles," Pillai mentioned.

With strong demand fundamentals and a growing financing ecosystem, she said India's real estate sector is poised for sustained growth.

On the report, Ankur Jalan, CEO of Golden Growth Fund, a category II Alternative Investment Fund (AIF), said the strong pace of land acquisitions underscores sustained developer confidence and a robust demand outlook.

"However, translating this land bank into completed projects will require significant capital infusion, creating a sizeable funding gap that traditional lenders alone may not be able to address. This is where AIFs are uniquely positioned to play a pivotal role," he added.

With the ability to provide flexible, structured financing solutions across the project lifecycle, Jalan said the AIFs and private credit platforms can bridge critical last-mile and construction funding requirements.