India's data centre segment will continue to attract interest from investors and may see an investment commitment of more than $54 billion this calendar year, according to CBRE.
Real estate consultant CBRE released a report 'India Alternate Sectors Outlook 2026', stating that India's total data centre stock across major cities is projected to increase by 30% year-on-year in 2026 with an estimated 500 MW of new supply addition.
In 2025, the total data centre capacity in the country reached the 1,700 MW mark, driven by a record 440 MW of new supply addition.
1 April 2026
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The report highlighted that the asset class witnessed investment commitments of $56.4 billion in 2025 alone, bringing the cumulative total to $126 billion.
"This year, these commitments are projected to rise by around 45%, potentially surpassing $180 billion," CBRE said.
Anshuman Magazine, Chairman and CEO, India, South-East Asia, Middle East & Africa, CBRE, said the data centre story in India is no longer about potential but about execution at scale.
"The sector's resilience and attractive return potential are establishing it as a primary focus for investors, with foreign capital playing a dominant role. This interest is supported by a robust regulatory framework that continues to enhance transparency and streamline credit access," he added.
The institutional momentum is expected to drive a significant upswing in deployments, positioning India as one of the fastest growing and most dynamic data centre markets in the Asia-Pacific region, Magazine said.
While Telangana, Maharashtra, Andhra Pradesh, Tamil Nadu, and Uttar Pradesh are likely to lead these capital inflows, the investment landscape is beginning to diversify further.
Driven by the requirements for lower latency, 5G proliferation, and data localisation, the CBRE said that data centre operators are moving beyond traditional metro-centric models to direct sustained investment towards tier-II cities such as Ahmedabad, Visakhapatnam, Patna, and Bhopal, amongst others.
The sector is also garnering rising interest from investors across the Asia-Pacific (APAC) region.
According to CBRE's 2026 Asia Pacific Investor Intentions Survey, data centres have emerged as the asset class where investors in the region expect the highest price appreciation in 2026.
The report highlighted that Mumbai alone accounted for over 50% of India's operational data centre inventory, as of 2025-end, anchored by its superior subsea connectivity and grid reliability.
Mumbai, Chennai, Delhi-NCR, and Bengaluru account for nearly 90% of the country's established tier-I data centre capacity.
Ram Chandnani, Managing Director, Leasing, CBRE India, said, "Rapidly scaling AI and cloud infrastructure is placing unprecedented strain on power grids in high-density data centre hubs." Consequently, he said renewable energy procurement has become a structural pillar of supply-side strategy.
