Over the past decade, Alternative Investment Funds (AIFs) in India have experienced significant growth, particularly in the real estate sector, which now comprises 17% of total AIF investments, amounting to nearly INR 75,468 Cr. According to SEBI data, total AIF commitments surged from INR 2,82,148 Cr in FY 2019 to INR 12,43,083 Cr by H1 FY2025, reflecting a 340% increase. Anuj Puri from ANAROCK notes that Category II AIFs, which include Real Estate Funds and Private Equity, dominate this growth. Domestic and foreign portfolio investors are increasingly participating, with AIFs providing crucial equity financing for real estate projects.