New Delhi [India], October 30 (ANI): India will require around 1.0–1.5 billion sq. ft. of additional private education infrastructure by FY 2035, driven by rising student enrolments and growing demand for quality education, according to a report by real estate consultancy CBRE.

The expected demand will create opportunities for expansion across private schools and higher education institutions, while attracting greater interest from institutional investors in education-related real estate.

It said, “~1.0-1.5 billion sq. ft. of additional private education infrastructure estimated to be required by FY2035, driven by enrolment growth and capacity expansion”.

According to the report, private K-12 schools are expected to account for around 0.9 billion sq. ft. of the incremental infrastructure demand, while higher education institutions will account for approximately 0.4 billion sq. ft.

India’s education sector is witnessing institutional expansion, supported by its large young population, policy reforms and increasing demand for quality education.

The report said the sector is gradually moving from fragmented, promoter-driven institutions towards professionally managed and scalable education platforms.

The report highlighted that institutional investors are showing interest in scalable premium K-12 school platforms, particularly in affluent urban markets. Alongside metropolitan cities, select tier-II cities are also attracting investor interest as education institutions look to expand their presence across regions.

A key development highlighted in the report is the growing interest in OpCo–PropCo models, which separate real estate ownership from academic operations. Such models are gaining attention among investors looking at opportunities in education infrastructure.

The entry of international universities into India could also create additional demand for academic infrastructure, including campuses and other institutional facilities.

The report estimated that India’s education sector, valued at around USD 225 billion in FY2025, is projected to reach approximately USD 313 billion by FY2030.

Private institutions already account for around 78 per cent of colleges in India. Private schools constitute approximately 23 per cent of the country’s schools but educate around 40 per cent of students, highlighting the growing role of private providers in the education system.

The report also pointed to the National Education Policy (NEP) 2020 as one of the factors supporting the sector’s expansion, alongside demographic growth and rising aspirations for high-quality education.

Infrastructure development is also receiving attention through policy initiatives. The Union Budget 2026–27 announced five university townships comprising universities, research institutions, skill centres and residential infrastructure near key industrial and logistics corridors.

The report said established metropolitan clusters continue to dominate the education infrastructure landscape, while tier-II cities are emerging as important growth hubs as institutions expand their regional presence.

The expected requirement of additional private education infrastructure highlights the scale of capacity expansion anticipated across India’s school and higher education segments. (ANI)