Real estate market to grow to $5.8 trn by 2047 as digital adoption accelerates amid cost and compliance pressures
India’s real estate sector, valued at $650 billion, is projected to grow nearly ninefold to $5.8 trillion by 2047 as developers adopt AI, blockchain, and IoT to address cost pressures and compliance demands. The FICCI-KPMG report highlights a shift toward digital tools across the value chain, with $16 billion unlocked through REITs and InvITs, and government reforms modernizing land registration systems.
India’s real estate market, currently worth $650 billion, is set to expand to $5.8 trillion by 2047, driven by rapid digital adoption, according to a joint report by FICCI and KPMG. The sector is transitioning from manual, fragmented workflows to AI, blockchain, drones, and IoT-enabled systems to improve efficiency amid rising costs and stricter compliance norms. AI usage in corporate real estate surged to 91% in 2025 from under 5% in 2023, with technology now underpinning site selection, construction, sales, and asset management. The report identifies key drivers for digital transformation, including cost pressures, regulatory demands, institutional investment growth, and more informed buyers. Over $16 billion has been mobilized through REITs and InvITs, while foreign firms leased a record 9.1 million sq ft of office space in India’s top nine cities in Q1 2026. Residential real estate is projected to reach $906 billion by 2034, with 41 million sq ft of new retail developments expected by 2028. Government-led digital reforms have modernized land records, assigning geo-referenced IDs to 360 million parcels across 29 states and integrating 89% of sub-registrar offices with revenue systems. Blockchain has verified 340 million property documents, reducing disputes and improving ownership transparency. Anand Kumar, Chairman of RERA (NCT of Delhi), urged stakeholders to prioritize transparency and efficiency at the FICCI Real Estate Summit in May 2026.
This content was automatically generated and/or translated by AI. It may contain inaccuracies. Please refer to the original sources for verification.