Over 195,000 buildings worldwide are now LEED-certified commercial properties – a clear signal that sustainable real estate is no longer just an industry buzzword but the future of commercial real estate (U.S. Green Building Council). Investors and businesses are rapidly shifting towards green buildings, recognising that they offer not just environmental benefits but also green building investment returns.
With the global push for sustainability reshaping commercial spaces, India is emerging as a key market aligning with these trends. As investors and occupiers prioritise carbon-positive buildings, the focus is shifting from why sustainability matters to how it can drive long-term value. At the heart of this transformation lies a globally recognised benchmark—LEED certification. It is often the first step in signalling a building’s commitment to environmental performance and future readiness.
LEED (Leadership in Energy and Environmental Design) is one of the most recognised global certification systems for eco-friendly spaces and sustainable buildings. It evaluates properties based on energy efficiency, water conservation, indoor air quality, and overall environmental impact.
In India, over 13.26 billion sq. ft. of commercial space is now classified as green real estate, placing the country among the global leaders in sustainable construction (Indian Green Building Council). LEED-certified commercial property continues to be a key differentiator in the market, offering:
However, while LEED ensures a building meets sustainability benchmarks, investors are now taking a more comprehensive approach by evaluating assets through the lens of ESG in real estate. Let’s take a closer look at the ESG-driven real estate investment trends.
ESG in real estate—short for Environmental, Social and Governance—is fast becoming a key metric in real estate investment decisions. Beyond certifications, investors now assess real estate sustainability, long-term operating costs, resilience, and governance frameworks before allocating capital. A recent global survey found that 70% of investors have already adopted ESG criteria in their decision-making, with another 10% planning to do so in the next three to five years (Knight Frank). This shift is driving capital towards ESG-aligned assets, which are increasingly commanding premium valuations.
Major global investment firms are rapidly integrating sustainability and eco-conscious practices into their real estate portfolios. For example:
The green commercial architecture transition is not just limited to individual buildings but is reshaping large-scale developments, including IT parks and business districts. Several large-scale IT parks and business hubs are incorporating smart green buildings 2025 designs, offering cutting-edge features that redefine the workspace experience. This momentum is pushing Indian developers to align with international standards, resulting in a new wave of sustainable commercial spaces.
India’s commercial real estate sector is already witnessing an accelerated push towards sustainable development. According to Bain & Co., 90% of India-bound investments in the next five years will be influenced by ESG in real estate considerations. Moreover, ESG-focused funds in India saw a 76% jump in inflows in FY 2020–21, reaching ₹3,686 crore from ₹2,094 crore the previous year.
Some notable projects include:
With regulatory backing, rising corporate demand, and investor preference, India’s green commercial real estate market is expected to grow exponentially.
As Indian developers shift towards green building technology, key sustainability features in new commercial developments include:
The advantages of sustainable commercial properties extend beyond energy-efficient skyscrapers, they also drive long-term profitability.
A key distinction on how green buildings drive profits compared to traditional commercial spaces includes:
Feature | Traditional Commercial Real Estate | Sustainable Commercial Real Estate |
---|---|---|
Energy Consumption | High | 20–50% lower |
Operational Costs | Expensive maintenance | Reduced costs due to efficient systems |
Tenant Demand | Standard leasing demand | High preference from MNCs, startups, and tech firms |
Regulatory Compliance | Subject to evolving norms | Already aligned with global ESG and green building standards |
Sustainability in commercial real estate is no longer just about environmental responsibility—it is a financially sound investment strategy. Green-certified and ESG-aligned properties offer:
At SQUAREA, we connect investors with commercial spaces designed for the future—LEED-certified commercial property, net-zero in commercial real estate, and smart green buildings 2025 that are sustainable, high-performing, and investment-worthy. Whether you’re looking for impact or income, our team of dedicated experts can help you secure opportunities that deliver both
Let’s shape a greener, more profitable real estate landscape together!
India’s commercial real estate is undergoing a transformation. REIT in India office market have gained momentum as investors seek liquidity, stability, and institutional quality. At the same time, capital is concentrating in high-activity micro markets of real estate, which are demonstrating the greatest resilience, scale, and REIT readiness. This progression brings the focus to REITs and their growing role in shaping the future of India’s office market.
A Real Estate Investment Trust (REIT) allows individuals to invest in income-generating property portfolios with the benefits of liquidity, transparency and regular distribution, attributes that align strongly with the risk-mitigation and yield-preservation goals of Indian HNIs and UHNIs. As India’s real estate market matures, REITs offer both institutional access and greater market sophistication.
To understand the opportunity, it is essential to first examine how the REIT market in India has evolved and where it currently stands.
India now holds approximately 488 million sq.ft of REIT-worthy Grade A office space, with 56% of that stock concentrated in the top 10 micro markets. Within these hubs, a striking 72% of Grade A inventory, nearly 275 million sq ft, is either already listed under existing REITs or has the potential to be listed in the future. (Colliers)
Such concentration makes it clear that the future of REITs will be shaped not at the city level alone but within specific micro markets that consistently attract occupiers and capital.
Not all office corridors meet REIT standards. Only those with scale, liquidity, rental visibility, and a strong occupier base can deliver institutional confidence. These qualities become most visible when we look at leasing patterns across India’s top hubs.
These occupier dynamics explain why such high-activity hubs dominate the REIT in the Indian office market, and also highlight why Pune micro markets attract REIT investors seeking both stability and growth.
Pune is increasingly centre-stage in this narrative. Colliers identifies three of India’s top 15 high-activity micro markets here - Baner-Balewadi, Hinjewadi, and Kharadi. These hubs offer a compelling mix of affordability, scale, and tenant stickiness.
As a result, REIT-ready Grade A office spaces Pune are now being considered alongside Bengaluru and Hyderabad, positioning the city firmly on the radar for commercial real estate investment Pune 2025.
With Pune office market REIT potential firmly established, the focus now shifts to assessing how REITs and high-activity micro markets across India are poised to shape the next phase of institutional investment.
High-activity micro markets are set to remain the backbone of India’s REIT growth story in the years ahead. The interplay of occupier demand, institutional confidence, and evolving asset quality points to a maturing market with sharper opportunities.
Together, these dynamics underscore why HNIs and UHNIs should align portfolios with high-activity corridors, where REIT ready commercial properties in Pune and other leading cities provide both resilience and growth potential.
At SQUAREA, we specialise in bridging discerning investors with curated access to these premium, REIT-ready office corridors. To explore the best office micro markets for REIT investment in India and beyond, connect with us at hello@squarea.io or call +91 90 9641 9641.
Rising inflation has become a defining challenge for investors worldwide. It eats into cash reserves, compresses returns from fixed income products, and often adds volatility to equity portfolios. For Indian HNIs and UHNIs, this means only traditional allocations may no longer guarantee long-term security. The search is for inflation proof investments in India that not only preserve wealth but also deliver growth. Among available options, real estate as an inflation hedge has consistently demonstrated its resilience.
India’s performance in recent quarters illustrates this strength. According to Knight Frank’s Global House Price Index, Indian residential prices grew 7.7% annually in Q1 2025 in nominal terms and 4.2% in real terms. The country ranked 15th out of 55 tracked markets, ahead of mature destinations such as the US, UK, and Australia. Quarterly, prices rose 2.9%, showing steady buyer confidence even as borrowing costs shifted. This momentum reinforces real estate’s role in protecting wealth during inflation. (Knight Frank)
Inflation reduces the real value of money. For investors, this erosion means that returns from cash, deposits, or bonds can quickly fall below the inflation rate, leaving portfolios exposed. Equities, though offering higher potential returns, remain subject to volatility and cyclical risks.
This is why investors prioritise assets that retain value during inflationary periods. Real estate investment India has historically shown its ability to absorb shocks, maintain capital, and generate income streams that adjust alongside rising prices.
Real estate has several structural features that make it resilient in inflationary times. These factors distinguish property from other asset classes that tend to underperform when prices rise.
These attributes show why property is often viewed as the strongest asset in the real estate vs inflation equation, offering a practical and proven hedge. While fundamentals are global, India’s market performance in recent years shows them playing out with particular strength.
The Indian residential market is demonstrating exactly how real estate performs under inflationary pressure. Transparency reforms, stable demand, and investor confidence have built a strong foundation.
These fundamentals make real estate investment in India not just a defensive move, but also a growth-led strategy. However, not all property types perform the same - residential, commercial, and alternatives each play distinct roles in hedging inflation.
Residential property is the most direct hedge, with ownership preferred during inflation.
Commercial and emerging formats add further resilience.
Recognising these opportunities is one part of the equation. The next step is knowing how you can strategically allocate capital to capture them.
For sophisticated investors, the key lies not only in recognising real estate’s inflation resilience but in building portfolios strategically.
By combining these approaches, investors can transform property from a defensive shield into a driver of long-term wealth creation. For HNIs and UHNIs seeking to secure their legacies, Indian property offers not only resilience but also significant upside.
At SQUAREA, we specialise in crafting investment strategies that anchor portfolios against inflationary pressures while unlocking growth potential. To explore curated opportunities in India’s most resilient markets, connect with us at hello@squarea.io or call +91 90 9641 9641.
End-use buyers face a strategic decision — whether to acquire a ready-to-move-in residence for immediate occupancy or to allocate capital towards an under-construction asset. While the latter has historically been associated with higher delivery risk, the landscape in 2025 is notably different. Projects are now governed by RERA-backed regulatory oversight, stringent escrow compliance, and developer accountability.
This evolving ecosystem has redefined the relevance of under-construction inventory, particularly for Indian HNIs and UHNIs seeking customisation, capital efficiency, and future-ready design. As these dynamics continue to shape the market, it becomes essential to assess the strategic value this segment can offer. To understand the continued relevance of this segment, let’s explore the key benefits of under-construction property in 2025 for end-users.
In 2025, the question of "should I buy an under-construction flat" is best answered by examining its strategic merits. For end-users in the luxury segment, these properties offer distinct advantages when backed by due diligence and credible delivery.
1. Price Advantage at Entry
Under-construction homes are priced lower than their ready-to-move counterparts in the same location. In high-demand corridors such as Pune’s western suburbs or Gurgaon’s Golf Course Extension Road, the price differential can range from 10% to 30%. (Sobha)
This lower base cost not only enhances affordability but also improves long-term capital appreciation, especially in projects completing within the next 18–36 months.
2. Capital Appreciation Potential
For buyers not in need of immediate possession, entering early in a project cycle enables higher asset appreciation by the time of completion. This is particularly relevant in micro-markets undergoing infrastructure upgrades, such as Mumbai’s New Cuffe Parade or Pune’s Kharadi.
Additionally, developers often increase pricing in tranches as construction progresses, allowing early buyers to benefit from structured value escalation.
3. Flexible Payment Structure
Unlike ready properties, under-construction homes offer construction-linked payment plans. This phased disbursement allows buyers to align payments with liquidity events or staggered capital deployment, thereby reducing financing pressure.
It also enables financial planning that matches project milestones with investment goals, particularly useful for buyers funding the purchase through asset reallocation or staggered divestments.
Developers of high-end projects typically allow limited customisation in flooring, layout, electricals, or interior finishes if the unit is booked in early phases. This flexibility is especially valuable for end-users seeking to tailor a home to their lifestyle or future requirements.
Completed units, on the other hand, may require costly retrofits or compromise on layout, which is non-ideal for long-term habitation.
Under-construction homes often incorporate newer materials, design efficiencies, and technology integrations. These include better energy ratings, improved ventilation systems, smart home readiness, and modern security systems.
Buyers entering these projects secure residences that are aligned with the latest in home technology, both in terms of functionality and long-term market relevance.
Buyers of under-construction projects generally have access to a wider range of unit configurations, views, and floor elevations. This enables selection that aligns with long-term value, whether in terms of Vastu compliance, sunlight exposure, or exclusivity of position.
This flexibility diminishes significantly once the project is completed and only residual inventory remains.
Under-construction properties offer notable tax benefits for end-use buyers financing their purchase through home loans. End-use buyers of under-construction homes can claim up to ₹2 lakh per annum on interest under Section 24(b) and ₹1.5 lakh on principal repayment under Section 80C after possession. An additional deduction of ₹50,000 under Section 80EE or ₹1.5 lakh under Section 80EEA may also apply for eligible first-time homebuyers, depending on loan sanction timelines and conditions. (ClearTax) Given these fiscal advantages, along with the structural and design benefits, it is worth assessing how under-construction property advantages for end-users compare against ready-to-move-in properties across key decision parameters.
To assist end-use buyers in evaluating both options, here is a comparison of under-construction vs ready-to-move homes in India:
Parameter | Under-Construction Homes | Ready-to-Move Homes |
---|---|---|
Price Point | Lower entry price | Premium priced |
Customisation | High (during early phases) | Limited or costly |
Payment Structure | Staggered, construction-linked | Lump-sum or full at possession |
Availability | Wide unit choice | Limited inventory |
Capital Appreciation | High potential pre-possession | Lower due to near-peak pricing |
Immediate Use | No | Yes |
Under-construction homes are no longer speculative ventures. When selected with diligence, they present a compelling mix of strategic location, modern design, and financial advantage.
For buyers exploring this segment, a home buying guide for under-construction projects should start with three pillars: regulatory compliance, developer track record, and capital alignment. These form the foundation for a confident, forward-looking investment.
At SQUAREA, we offer curated access to India’s premium real estate opportunities, selected for their financial, legal, and execution credibility. For tailored investment guidance, reach out at hello@squarea.io or call +91 90 9641 9641.