The REIT backed by developer K Raheja Corp and global private equity major Blackstone Group has reported net operating income of Rs 359.2 crore for the quarter, up 6.7 per cent from a year ago.
During the quarter, it has continued to collect over 99 per cent of its gross contracted rentals.
“We continue to witness strong leasing activity across our portfolio with over 2.1 million sq ft leased in the first half of this financial year. We remain increasingly confident of the commercial market outlook, buoyed by record tech hiring and growth trends, improved GCC prospects, vaccination coverage in our gateway cities as employees return to the office. We are excited about the robust demand cycle re-emerging,” said Vinod Rohira, Chief Executive Officer, Mindspace Business Parks REIT.
The REIT has recorded robust gross leasing of 9 lakh sq ft, with an average rent of Rs 88 per sq ft a month across 11 deals concluded during the quarter. It has also concluded another Build-to-Suit lease of 5 lakh sq ft at Mindspace Juinagar in Mumbai Region. Over the last two quarters, it has leased 2.1 million sq ft in total.
The record date for the distribution is November 18, payment of the distribution will be processed on or before November 27.
The REIT has raised around Rs 400 crore through issue of debentures at project level at 6.1 per cent helping the reduction in average cost of debt further by 15 basis points to 6.9 per cent as on September end.
The July-September quarter has already witnessed a sharp uptick in the absorption of office spaces led by leasing activity in the information technology and IT-enabled services sector.
The IT, ITeS sectors are among the prime drivers of overall leasing activity in the top cities and bulk-hiring by these firms will influence the demand for large quality office spaces.
