Singapore’s real estate titan, CapitaLand, is set to significantly expand its footprint in India, with plans to elevate its investment in the subcontinent to over $14.8 billion by 2028. This ambitious move, announced by the Singapore High Commissioner to India on social media, underscores CapitaLand’s strategic commitment to one of its most rapidly growing markets.
CapitaLand Investment (CLI), celebrating its 30-year presence in India, aims to more than double its current funds under management (FUM) from $7.4 billion to $14.8 billion within the next five years. CLI’s Group CEO highlighted India’s pivotal role in the company’s global strategy, noting that the country has been a significant driver of growth, with investments tripling over the past seven years. With India’s GDP forecasted to expand by 7% in 2024 and its trajectory toward becoming the world’s third-largest economy, the country is becoming increasingly attractive to global investors seeking quality real estate assets. In a statement, CLI’s CEO emphasised the company’s plans to drive growth through both its listed entity, CapitaLand India Trust (CLINT), and its private funds. CLI has successfully launched four private funds targeting logistics and business parks and is eyeing opportunities in data centres, spurred by the booming digital economy. The group will leverage its expertise to expand its logistics footprint via its Ascendas-Firstspace (AFS) platform and enhance its lodging portfolio through The Ascott Limited.
CLI’s expansion strategy includes several key components. The company currently manages 14 business parks and IT parks across major Indian cities, covering 23.5 million square feet. It is set to accelerate development to cater to the growing demand for premium office spaces. In logistics, CLI manages 9.1 million square feet of space across 12 assets and is exploring additional opportunities. The company is also planning to develop four state-of-the-art data centres in Mumbai, Chennai, Hyderabad, and Bangalore, with a combined power capacity of 244 megawatts. The first two centres in Navi Mumbai and Hyderabad are anticipated to commence operations in 2025. Furthermore, CapitaLand’s lodging arm, The Ascott Limited, operates seven properties across six cities and plans to expand with eight new openings, including properties in Goa and Gurugram. The company is also considering ventures in renewable energy and real estate private credit, capitalising on India’s renewable energy targets and the burgeoning private credit market. CapitaLand’s strategic investment in India reflects a broader trend of increasing global interest in the Indian real estate sector, driven by the country’s robust economic growth and evolving market opportunities.
