In FY26, India's five publicly listed REITs distributed over ₹8900 crore to unitholders, marking a 50% increase from the previous year. They manage over 187 million square feet of real estate, reflecting their growing importance in capital markets.
The five publicly listed Real Estate Investment Trusts (REITs) in India— Brookfield India Real Estate Trust, Embassy Office Parks REIT, Knowledge Realty Trust, Mindspace Business Parks REIT, and Nexus Select Trust—distributed more than ₹8900 crore to unitholders in 2025–26 (FY26), a 50% increase over the previous year. They collectively distributed over ₹2566 crore to more than 4.25 lakh unitholders during the fourth quarter ended March 31, 2026.
Indian REIT market
Together, these five REITs manage a portfolio spanning over 187 million square feet of ‘Grade A’ office and retail real estate across India. Since inception, they have cumulatively distributed over ₹31700 crore to unitholders, underlining their growing significance within India’s capital markets ecosystem.
As of Q4 FY26, the total gross asset value of the Indian REIT market stood at over ₹2.72 lakh crore. The combined market capitalisation of the REIT sector stood at over ₹1.7 lakh crore as of May 22, 2026.
Landmark year for REIT industry
“This has been another landmark year for the Indian REIT industry, marked by strong growth in distributions, expansion of high-quality real estate portfolios, and increasing investor participation,” said Alok Aggarwal, Managing Director & CEO of Brookfield India Real Estate Trust and Chairperson of the Indian REITs Association (IRA).
“The sector has seen further growth, with the addition of one more REIT taking the number of listed REITs to five in FY26, reflecting growing confidence in the platform. The cumulative distribution of over ₹8900 crore in FY26 represents a robust year-on-year growth of over 50%,” he said.
“This significant increase underscores the resilience of the underlying assets, strong operating performance, and the sector’s ability to deliver stable and predictable cash flows to unitholders,” Aggarwal said.
How REITs work
REITs use investors’ money to buy and manage rent-yielding commercial properties. They have to mandatorily distribute 90% of their net cash flows to unitholders on a regular basis. This provides investors with a steady income along with a potential for capital appreciation of the underlying asset.
While dividends are paid from the rental profits earned by REITs, unitholders can also earn income in the form of interest from loans given by REITs to their underlying properties or special purpose vehicles.
Payments to unitholders are typically made two times in a year. But there are REITs that make payments on a quarterly basis. The money is usually credited directly to the unitholder’s bank account that is linked to the demat account.
“As India’s commercial real estate market continues to evolve, REITs are steadily emerging as a preferred investment avenue for both domestic and global investors seeking transparent, professionally managed, yield generating assets,” Aggarwal said. “We remain confident in the long-term growth potential of the Indian REIT ecosystem and its expanding role in India’s financial markets,” he stated.
The IRA is an industry body formed under the guidance of the Securities and Exchange Board of India (SEBI) and has Brookfield India Real Estate Trust, Embassy Office Parks REIT, Mindspace Business Parks REIT, Knowledge Realty Trust and Nexus Select Trust as its members.