REG News
New Delhi: India is expected to require approximately 1–1.5 billion sq. ft. of additional private education infrastructure by FY2035, driven by rising student enrolments, growing educational aspirations and increased private-sector participation, according to a latest report by CBRE South Asia titled Beyond Core: A 2035 View of India’s Alternate Sectors – Part I.
The report estimates that private unaided K–12 schools will account for approximately 0.9 billion sq. ft. of additional infrastructure demand, while private higher education institutions will contribute another 0.4 billion sq. ft. The growing demand is creating new opportunities for real estate developers and institutional investors to enter the education infrastructure sector.
Investors are increasingly exploring premium K–12 school platforms, particularly in affluent urban markets.
The report also highlights the potential of Operating Company–Property Company (OpCo–PropCo) models, which separate property ownership from academic operations. These arrangements can provide developers and property owners with long-term rental or revenue-sharing opportunities while helping education operators expand their networks.
Anshuman Magazine, Chairman and CEO, India, South-East Asia, Middle East and Africa, CBRE, said India's expanding education infrastructure requirements offer significant opportunities for developers and investors. He highlighted the importance of scalable infrastructure and partnerships between developers and established education operators.
Geographically, metropolitan cities continue to drive organised private education, while select Tier-II cities are emerging as attractive expansion destinations. The entry and expansion of international universities in India, supported by evolving regulations, could further boost demand for higher education infrastructure.
Rami Kaushal, Managing Director, Consulting and Valuation Services, India, Middle East and Africa, CBRE, emphasised that successful education real estate investments will depend on location, infrastructure suitability and partnerships with credible education operators. The report highlights education real estate as an emerging investment opportunity in India's growing alternative asset sector.
Also Read: Infosys opens 1.1 Mn sq ft development centre in Hyderabad