Brookfield India REIT Aims to Raise ₹3500 Crore to Boost Growth and Reduce Debt
Brookfield India Real Estate Trust's net operating income surged 40% to ₹485.8 crore in Q2, and the company plans to issue up to ₹3500 crore to institutional investors to support its future growth and reduce debt burden.
Brookfield India ReitReal EstateFundraisingDebt ReductionGrowthReal EstateNov 07, 2024
On November 7, 2024, BIRET reported a significant 40% increase in its net operating income to ₹485.8 crore for the second quarter of this fiscal year, compared to ₹346.7 crore in the same period last year. The company also announced a distribution of ₹220.8 crore to unitholders for the second quarter of this fiscal year.
The board of directors of Brookprop Management Services Pvt Ltd, the manager of BIRET, has approved the issuance of units of BIRET through an institutional placement. This placement will not exceed ₹3500 crore and can be executed in one or more tranches. The proceeds from this issuance will be used for various purposes, including the repayment of outstanding borrowings, funding operating expenses, capital expenditure, and investments in creditworthy instruments. Additionally, the funds will support future inorganic or organic growth opportunities.
On the operational front, BIRET has achieved 1 million square feet of gross leasing of office space, driven by strong demand in the real estate market. BIRET owns 10 Grade A assets strategically located in major cities such as Delhi, Mumbai, Gurugram, Noida, and Kolkata. Its portfolio consists of 28.9 million square feet of total leasable area, with 24.3 million square feet currently operational, 0.6 million square feet under construction, and 4 million square feet of future development potential.
Brookfield India Real Estate Trust is a leading real estate investment trust in India, focusing on premium office spaces. The company's strong financial performance and strategic initiatives are expected to further enhance its market position and shareholder value.
Frequently Asked Questions
What is Brookfield India Real Estate Trust planning to do with the ₹3500 crore raised?
The funds will be used for the partial or full prepayment or repayment of outstanding borrowings, equity contributions, and general purposes. This includes funding operating expenses, capital expenditure, investments in creditworthy instruments, and supporting future growth opportunities.
How much did Brookfield India Real Estate Trust's net operating income increase in Q2?
Brookfield India Real Estate Trust's net operating income increased by 40% to ₹485.8 crore in the second quarter of this fiscal year, compared to ₹346.7 crore in the same period last year.
What is the total leasable area in Brookfield India REIT's portfolio?
Brookfield India REIT's portfolio consists of 28.9 million square feet of total leasable area, including 24.3 million square feet of operating area, 0.6 million square feet under construction, and 4 million square feet of future development potential.
How many Grade A assets does Brookfield India REIT own?
Brookfield India REIT owns 10 Grade A assets located in major cities such as Delhi, Mumbai, Gurugram, Noida, and Kolkata.
What is the primary focus of Brookfield India Real Estate Trust?
Brookfield India Real Estate Trust primarily focuses on premium office spaces in major cities across India.
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