Private equity (PE) investment in real estate is estimated to touch $7.2 billion this year, up 53% from 2015, as both residential and office assets continue to generate interest among domestic and foreign investors, according to a report by global real estate consultancy firm, Cushman & Wakefield and the Global Real Estate Institute. In the first nine months of 2016, private equity funds committed $4.2 billion, an increase of 20% from the same period last year, said the report titled ‘Revitalizing Indian Real Estate: A new era of growth and investment’. While domestic funds have invested around $2.9 billion, cumulative investments from foreign investors stood at around $1.15 billion during the period. Residential properties continue to remain the preferred asset class, accounting for about 54% at $2.4 billion of total investments, the report said. However, it said record high investment is expected in the office sector in 2016 as there is growing interest in leased office assets due to the potential to list under real estate investment trusts (REITs). During the nine-month period, commercial office properties fetched about $852 million investments. With a few large deals for office portfolios in closure stages in the fourth quarter, 2016 is expected to record the highest annual investment made in this asset class. In terms of location, Mumbai remained the top destination for investment both in the residential and commercial segments.