Mumbai, july 04th, 2025:  Financial services firm Equirus Capital has released a press note on the development in the real estate sector. As per the press note, the amount of capital raised as well as number of deals have risen over 3-fold in the real estate sector. The returns posted by REITs are higher than Sensex and other segments of the listed real estate sector – largecap, mid and smallcap.

The amount of capital raised by real estate companies rose from Rs 1,09,554 mn to Rs 3,28,526 mn, thereby clocking a 3-fold return. Also, the number of deals rose from 5 in FY24 to 17 in FY25.

The bulk of the fund raising took place in largecap real estate segment amounting to Rs 3,93,898 mn, followed by Rs 312012 mn for REITs, smallcap segment saw capital to tune of Rs 66,938 mn, whereas for the midcap segment it was Rs 52,626 crore.

Return benchmarking of RE Players across the board

The returns posted by REITs is the highest in the past 12-months (till June 23^rd, 2025), at 17.9%, which is almost 3x compared to Sensex returns of 6.1%. The posted by large, mid and smallcap real estate sector companies have been in the negative.

Small Cap best performing segment since March 2021 followed by Mid Cap

If taken a long-term view of over 4 year, the smallcap segment of the real estate sector has posted higher returns compared to other segments, REITs as well as benchmark index Sensex.