India, Dec. 28 -- Private equity (PE) investments in Indian real estate declined 29% year-on-year to about $3.5 billion in 2025, even as office assets continued to dominate investor interest, accounting for 58% of total inflows to about $ 2,001 mn, according to Knight Frank India's report, Trends in Private Equity Investments in India: H2 2025.

Knight Frank said the moderation in PE activity reflected a broader recalibration around the cost of capital, exit visibility and valuation alignment, even as macro indicators such as GDP growth and inflation improved during the year.

Office properties attracted $2 billion during the year, broadly in line with the three-year average, underscoring sustained confidence in income-generating commerci...