India pips China to become real estate capital of Asia: Hurun report

New Delhi: With real estate companies worth $36 billion in 2024, India is accelerating to become the real estate capital of Asia, pushing away China in terms of growth rate, a new report said on Thursday.

China’s real estate market is facing significant headwinds due to government clampdowns and demand slowdown.

While in India, with the middle class projected to reach 547 million by 2030, residential sales are expected to grow 10-12 per cent in FY2024-25, according to the ‘2024 GROHE-Hurun India Real Estate 100’ report.

“Rising foreign investments of around $4 billion yearly are further catalysing growth,” said Anas Rahman Junaid, Founder and Chief Researcher, Hurun India.

Sixty of the top 100 companies operate beyond their core state headquarters, indicating a significant trend towards national brand building in the real estate sector.

“Notably, six companies on the list have an international presence, demonstrating the global ambitions of Indian real estate companies. With the strength of the Indian diaspora, Indian real estate companies are well-positioned to expand internationally, a trend we expect to see grow in the coming years,” Junaid emphasised.

DLF emerged as the top real estate company in the list, with a valuation of Rs 2,02,140 crore, followed by Macrotech Developers with a valuation of Rs 1,36,730 crore and Indian Hotels Company at third spot with a Rs 79,150 crore valuation.

Among the top 10 companies, 60 per cent are headquartered in Mumbai, while two are based in Bengaluru and one each in Gurugram and Ahmedabad.

"The list showcases that entrepreneurs hailing from tier 2 cities are forging some of the most impactful real estate enterprises in the nation. Five per cent of the entrants in 2024 GROHE-Hurun India Real Estate 100 hail from tier 2 cities. This highlights the fact that geographic boundaries no longer limit the rise of influential real estate players in India,” informed Junaid.

India is projected to add 200,000 km of national highways by 2037, fostering the growth of micro cities and further value addition by India’s real estate sector, he added.