India’s real estate sector is one of the massive forces of its economy, expected to contribute almost 13 percent to India’s GDP by 2025. But while the industry continues to expand, funding remains a long-standing challenge, especially for large-scale commercial developments.
With traditional financing often falling short, the market has seen a clear shift in interest toward new, more accessible investment models. One such option gaining traction is the Real Estate Investment Trust (REIT), regulated by the Securities and Exchange Board of India (SEBI).
In this article, we’ll discuss everything about REITs in India - what they are, how they work, types of REITs, tax implications, and more.
Real Estate Investment Trusts (REITs) in India are companies that own and manage valuable properties, mostly commercial spaces like tech parks, malls, warehouses, or data centres. Think of it as a mutual fund, but instead of pooling money into stocks or bonds, REITs collect funds from multiple investors and put that into real estate assets.
REITs allow you to access real estate investments without having to buy or manage properties yourself. Rental income from the properties is collected and distributed as dividends among the unit holders. This makes REIT funds a source of relatively steady cash flows.
As of May 2025, the top REITs in India collectively manage assets worth over ₹1.6 lakh crore and are gaining strong interest from those who want to know how to invest in REITs in India.
First Published: Aug 18, 2025, 15:01
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