In Budget 2026, the Finance Minister has made a big announcement to open high-value real estate assets of CPSEs to retail investors through dedicated REITs.

This means that now investors can invest in commercial assets like prime office spaces, malls and warehouses without directly purchasing the property.

REITs provide regular rental income, with potential yields of around 6–8%, along with the benefit of long-term capital appreciation.

A major feature of REITs is stock market-like liquidity, which makes buying and selling easier. Experts believe that REITs can become a smart option for portfolio diversification for medium to long-term investors, especially those who want real estate exposure but want to avoid high capital investments.