India, April 7 -- Private equity investments in Indian real estate declined by 3% to $3.7 billion in FY2024-2025 from $3.8 billion in the preceding year due to low fund inflow in office buildings primarily driven by reduced foreign investor activity amid heightened global macroeconomic uncertainty and geopolitical volatility, according to Anarock.

Offices saw a steep decline in investment-$806 million in FY25 versus $2.2 billion in FY24. While leasing activity remains robust, investor caution persists due to high interest rates and geopolitical stress, the consultant said.

As per the data, the share of foreign investors in total PE investments during the last fiscal year stood at 84% while domestic 16%.

Real estate consultant Anarock's...