Housing Construction Value Surges to $430 Billion
The Indian real estate sector has witnessed a significant expansion in construction activity, with the total value of housing projects under construction reaching $430 billion in 2025. This figure represents a nearly two-fold jump from the $235 billion recorded in 2019, according to a joint report titled 'Indian Real Estate - Growth Trajectory, Sectoral Outlook and Geopolitical Crosscurrents' released by the Confederation of Real Estate Developers Associations of India (CREDAI) and property consultant Anarock.
The report, presented at a conference in Kolkata, attributes this sharp rise in construction activities to a sustained surge in demand following the post-Covid pandemic period. The data highlights a structural shift in the market, with the residential segment becoming the dominant force in the industry.
Residential Segment Dominates Market Share
While the focus is on housing, the broader real estate landscape has also expanded considerably. The total value of real estate under construction across residential, office, retail, and warehousing segments has grown from $94 billion in 2009 to $503 billion in 2025, marking a more than five-fold increase.
Within this total, the share of the residential segment has climbed from 48% in 2009 to 85% in 2025. The report notes that this shift reflects both the massive scale of housing demand and the relatively smaller, though fast-growing, base of commercial asset classes.
In the commercial sector, office space remains the largest category by value. Warehousing has seen notable growth, expanding from a near-zero base in 2009 to over $10 billion in 2025.
Market Resilience and Future Projections
Despite geopolitical challenges, including the West Asia crisis, the sector has maintained its momentum. Anarock Chairman Anuj Puri stated that residential sales value has stayed above Rs 1.3 lakh crore for seven consecutive quarters. He also highlighted that Grade A office absorption has remained firm, driven by Global Capability Centres (GCCs), which accounted for around 45% of total leasing in the first half of 2026.
CREDAI National President Shekhar Patel emphasized the sector's trajectory, noting that the market has grown from an estimated $120 billion in 2017 to $600 billion today. He projected that the industry is on course to reach $1 trillion by 2030 and nearly $5.8 trillion by 2047.
The report was released during CREDAI's flagship conference, NATCON, held in Kolkata from October 2-4, with participation from over 1,000 builders. CREDAI currently has more than 13,000 developer members.