Real estate sector is already facing a lot of cash crunch and recession. Along with the black money laws, high circle rates, huge inventories etc. there is not much investor interest. I think the value is there in the affordable housing segment, where DLF doesn't fit in (at least now). I would suggest that you either look at Aashiana Housing or Poddar Developers. In the proxy play, you can look at Housing Finance Co.s like DHFL, LIC etc.
To add to this, I would suggest that you look at some really good names which are doing really well but are undervalued due to bearish outlook in the real estate sector eg. Sobha, Prestige, Brigade. Primarily active in the south and have good development track record. Decent balance sheets and growth.