Mindspace Business Parks REIT announced Q2FY23 results: Clocked healthy net operating income (NOI) growth, NOI at Rs 4,172 million in Q2FY23, up by 16.0% YoY and 3.9% QoQ Recorded NOI of Rs 8,186 mn in H1FY23 NOI margin remains strong at over 80% A resilient balance sheet with low net debt-to-market value of 16.8% The gross asset value of the portfolio increased by 3.3% over March 22 to Rs 273 billion Net asset value increased from Rs 364.9 per unit on March 22 to Rs 370.3 per unit Speaking on the results, Mr. Vinod Rohira, Chief Executive Officer, Mindspace Business Parks REIT said on their strong set of numbers, “As envisaged, we continue to see demand for Grade A institutionally managed office assets as the preferred choice by our global clients as their return to office plans are now in motion. We have leased 1.3 msf during the quarter taking the cumulative gross leasing to 2.1 million square feet in the first half of the financial year resulting in further improvement in committed occupancies in our portfolio. We continue to unlock value in our portfolio through disciplined organic growth and prudent capital allocation, in alignment with our focus to maximize unitholder value.” Result PDF
Mindspace Business Parks REIT announced Q1FY23 Result : Recorded strong leasing of c.0.9 msf across 18 deals Committed occupancy of the portfolio jumped by c. 130 bps QoQ to 85.6% Re-leasing spread stood at 36.4% on 0.5 msf of area re-let In-place rents have grown by 9.3% YoY to INR 62.4 psf/month Continue to deliver on NOI growth, NOI at INR 4,014 mn, up by 10.9% YoY NOI margin remains strong at over 80% Strong balance sheet with low Loan-to-value (LTV) of c.16.6% Released 1st Sustainability Report, reiterating our commitment to sustainable development Mindspace REIT Group features in India’s Great Mid-Size Workplaces 2022 Commerzone Kharadi awarded by Architects Engineers & Surveyors Association Pune (AESA) for Good Practices in Building Design and Construction Received LEED Platinum O&M; certification across 6 Buildings & LEED Gold O&M; across 5 Buildings Speaking on the results, Mr. Vinod Rohira, Chief Executive Officer, said, “After recording one of the best years of leasing in FY22, the tailwinds continue to grow stronger as we enter the new financial year. Our strategy of upgrading our offerings during downtime and implementing the best asset management practices has allowed us to benefit from the anticipated demand upswing. The committed occupancy of the portfolio has risen by 130 bps QoQ to 85.6% as we leased 0.9msf during the quarter. The demand recovery initially led by the large occupiers is now seeing a much broad-based momentum. We expect a stronger recovery in the second half of the year as a greater percentage of employees return to their offices.” Result PDF
Realty company Mindspace Business Parks REIT announced Q4FY22 results: Reported Net Operating Income of Rs 3,960 million for Q4 FY22, up 10.6% YoY Gross Asset Value of the portfolio increased by 5.7% YoY to Rs 264 billion Net Asset Value increased from Rs 357.8 per unit in September 2021 to Rs 364.9 per unit Strong balance sheet with low Loan-to-value (LTV) of c.15.7% Speaking on the results, Mr. Vinod Rohira, Chief Executive Officer, said, “Mindspace REIT has recorded one of the strongest years of leasing as volumes surpassed 4.5msf. The increased preference for offices that offer aspirational and experiential product offerings and are maintained by best asset managers augurs well for our business. The robust hiring by IT companies and GCCs over the past 2 years coupled with actioning of return to office plans, point to a strong resurgence in demand. We are excited about fast-tracking our under-construction inventory along with realization of mark-to-market opportunity for churn space given the optimistic demand dynamics.” Result PDF
Mindspace Business Parks declares Q3FY22 result: Uptick in office leasing continues, c.3.8 msf leased in the first 9 months of FY22 Pre-leased an entire upcoming building of c.0.7msf at Commerzone Kharadi, Pune Declared distribution of INR 4.64 per unit Reported Net Operating Income of INR 3,715 Mn, up by 3.8% on YoY basis and 3.4% QoQ Declared distributions of INR 2,752 Mn / INR 4.64 p.u., with over 90% being tax-exempt Annualised distribution yield of c.6.7% on issue price Average cost of debt further reduced by c.20 bps QoQ to 6.7% as on December 31, 2021 Post the quarter end, raised INR 5 Bn through issuance of debentures at 6.35% p.a. coupon, further reducing the pro forma cost of debt to 6.6% p.a. Strong balance sheet with low Loan-to-value (LTV) of c.15.8% Speaking on the results, Mr. Vinod Rohira, Chief Executive Officer, said, “Mindspace Business Park REIT witnessed a significant uptick of leasing activity with c.1.8 msf of space leased in the December quarter, taking the overall leasing to c.3.8 msf the first 9 months of FY22. The significant change in occupiers’ preference towards quality office spaces which adhere to the best standards of health, safety, experience, and wellness protocols has helped increase demand for our portfolio. We expect this trend to accentuate further in the coming quarters. The Union Budget’s impetus of replacing the SEZ policy to improve ‘Ease of doing business’ in SEZs would provide fillip to the demand for SEZ spaces in our Portfolio.” Result PDF
Highlights: Robust demand cycle emerges as employees start returning to office, c.2.1 msf leased in the first half of FY22 Mumbai Region ROFO Asset Achieves Built-to-Suit Pre-leasing of c.0.5 msf Declares Distribution of INR 4.60 p.u., over 90% being Tax-Exempt Reported Net Operating Income of INR 3,592 Mn, up by 6.7% on YoY basis Declared distribution of INR 2,728 Mn / INR 4.60 p.u., with over 90% being tax-exempt Annualised distribution yield of 6.7% on issue price of INR 275 p.u. Raised INR 4 Bn in the form of debentures at SPV level at 6.1% p.a. coupon Average cost of debt further reduced by c.15 bps q-o-q to 6.9% as on September 30, 2021 Strong balance sheet with low net debt to market value of c.14.9% NAV stood INR 357.8 p.u. as on September 30, 2021, vs. INR 345.2 p.u. as on March 31, 2021 Speaking on the results, Mr. Vinod Rohira, Chief Executive Officer, Mindspace Business Parks REIT said, “We continue to witness strong leasing activity across our portfolio with over 2.1 million square feet leased in 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 office. We are excited about the robust demand cycle re-emerging.” Result PDF