According to a Colliers India analysis, it is projected that over the next five to six years, around USD 40 billion will be invested in India’s electric vehicle (EV) and related businesses, creating numerous opportunities for the real estate sector.
According to Colliers’ most recent study, “EVs in India: Renewed Vigour in Electric Mobility,” the lithium-ion battery market alone may see the realization of around two-thirds of the anticipated investments. Interestingly, investment pledges in the EV business increased more than three times in the last three years, despite slower than expected EV adoption.
Multiple real estate opportunities may become available as a result of the proposed investments, the research noted.
According to Colliers India, it will expedite the acquisition of land for the establishment of EV and Original Equipment (OE) manufacturing facilities, which would include lithium-ion batteries.
The survey also noted that if EV usage increases, there may be a need for more than 45 million square feet of real estate by 2030 due to the growing requirement for charging infrastructure.
Colliers projects that 2 million EVs will be sold in India in 2024, with an overall EV penetration rate of 8%. The nation’s EV adoption rate has been admirable, but it has not been as rapid as expected.
The analysis emphasized that given the present slow progress, the goal of having 80 million EVs on the road by 2030 appears challenging. The survey also said that while it is highly optimistic to anticipate a six-fold growth in average annual EV sales by 2025–2030, reaching EV targets will necessitate concentrated efforts to fully overhaul the country’s EV environment.
The research also noted that plans for development and the purchase of roughly 13,000 acres of land might become a reality by 2030, underscoring the significance of increased domestic manufacturing in the EV industry. Manufacturers of lithium-ion batteries are projected to account for over 80 percent of the possible land development prospects.
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