Mindspace Business Parks REIT Delivers Impressive Q1 FY25 Results
Mindspace REIT reports strong Q1 FY25 results, with committed occupancy of 91.1% and NOI growth of 9.2%
Mindspace ReitGrade A OfficeIndiaReal EstateCommercial PropertyReal Estate MumbaiJul 30, 2024
Speaking on the results, Ramesh Nair, Chief Executive Officer, K Raheja Corp Investment Managers Private Limited, Manager to Mindspace REIT, said, 'We've had yet another great quarter, renting out over 1 million square feet and achieving a remarkable committed occupancy of 91.1%. Our NOI grew by a robust 9.2% driven by our rising rents and growing occupancy. This healthy leasing, especially at our Navi Mumbai Parks post the SEZ policy reform, has encouraged us to prepone the future development at our Airoli East Park.'
The highlights of the quarter include a committed occupancy of 91.1%, gross leasing of 1.1 million square feet, and a re-leasing spread of 23.9% for Q1 FY25 on 1 million square feet of area re-let. The company has also reported a steady growth in rentals across all its parks, with an in-place rent of INR 70 per square foot per month.
Mindspace REIT has a strong development pipeline, with 4.4 million square feet of under-construction projects, including 1.3 million square feet planned to be completed in FY25. The company has also received approval for demarcation of additional 500,000 square feet of SEZ space in Airoli West.
The company's balance sheet remains strong, with a low Loan-to-Value (LTV) of approximately 21.9%. Mindspace REIT has raised INR 1,500 crores at an effective rate of 7.80% p.a. and has an average cost of borrowing of 7.9%. The company has also become the first Indian REIT to issue Sustainability Linked Bonds for INR 650 crores subscribed by IFC, a World Bank member.
Mindspace REIT has declared a distribution of INR 299 crores or INR 5.04 per unit for Q1 FY25, representing a year-over-year growth of 5%. The record date for the distribution is August 02, 2024, and the payment shall be processed on or before August 08, 2024. Since listing in August 2020, the company has made a cumulative distribution of approximately INR 4,231 crores or approximately INR 71.3 per unit.
Mindspace Business Parks REIT is a leading owner and developer of quality Grade A office portfolio in India, with a presence in four key office markets.
Frequently Asked Questions
What is the committed occupancy of Mindspace REIT in Q1 FY25?
The committed occupancy of Mindspace REIT in Q1 FY25 is 91.1%
What is the growth rate of NOI for Mindspace REIT in Q1 FY25?
The NOI growth rate for Mindspace REIT in Q1 FY25 is 9.2%
What is the in-place rent of Mindspace REIT's parks?
The in-place rent of Mindspace REIT's parks is INR 70 per square foot per month
What is the size of Mindspace REIT's under-construction pipeline?
The size of Mindspace REIT's under-construction pipeline is 4.4 million square feet
What is the cumulative distribution made by Mindspace REIT since listing?
The cumulative distribution made by Mindspace REIT since listing is approximately INR 4,231 crores or approximately INR 71.3 per unit
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