India's REITs Soar 16-28% in 2025, Outperforming Equities

• India's listed REITs saw unit prices surge 16-28% in 2025, outperforming blue-chip stocks and the broader equity market.
• Mindspace REIT led with a 28.5% price increase; Brookfield India REIT, Nexus Select Trust, and Embassy REIT also saw significant gains.
• This surge is primarily attributed to a rerating driven by the Reserve Bank of India's 125 basis points repo rate cuts in 2025, making financing cheaper.
• Strong office market fundamentals, robust leasing activity, rising occupancies, and increased demand from GCCs also contributed to the outperformance.
• Experts expect this positive trend to continue, viewing REITs as stable income-generating assets and a hedge against inflation, especially with sustained low interest rates.

Why It Matters: Indian REITs delivered exceptional returns in 2025, driven by interest rate cuts and strong market fundamentals.