Upgrades

With a 14% upside from the CMP, we maintain our long-term BUY rating on the stock.

We attended Nexus Select Trust REIT’s (Nexus) recently held Analyst Meet. The company has unveiled its “Nexus 2.0: Re-imagining the Future” strategy.

With a 18% upside from the CMP, we maintain our long-term BUY rating on the stock.

Embassy Office Parks REIT’s (Embassy REIT) overall portfolio occupancy, as of Dec’24, was 87% – including infusion of 1.4msf Splendid Techzone, Chennai asset of 1.4msf from 1 Jun’24.

The REIT manager of Nexus Select Trust announced the closure of the acquisition of Vega City Mall, a Grade A mall located in south Bengaluru for a total EV of INR 9.1bn (initial purchase cost of INR 8.7bn – funded 100% by debt at 7.7% and balance towards planned capex).

We maintain our BUY recommendation on the stock.

We have maintain BUY rating on the stock

The Embassy has achieved the annual leasing guidance in just 9 months. Recommendation: BUY

Nexus REIT clocked 18% LTL (like-to-like) consumption growth across its urban consumption centres (malls) in Q2FY24 (similar growth achieved in Q1FY24) with footfalls up 14% YoY and balance growth from high spend per customer. This resulted in Q2FY24 NOI of INR3.5bn which grew 17% YoY.

Nexus REIT clocked 18% LTL (like-to-like) consumption growth across its urban consumption centres (malls) in Q1FY24 with footfalls up 10% YoY and balance growth from high spend per customer. We expect Nexus’ NOI CAGR of 10.4% over FY23-26E to INR18.8bn on expected ramp-up in occupancies in existing assets, annual rental escalations and mark-up of leases that are expiring.

Mindspace Business Parks REIT (MREIT) delivered a steady performance in Q1FY24 with both revenue and NOI increasing 5% QoQ to INR5.6bn and INR4.6bn, respectively. Overall portfolio occupancy as of Jun’23 was at 86.9% (increase of 350bps QoQ) with committed occupancy at 88.8% (flat QoQ).

The Brookfield India REIT (BIRET) saw Q2FY23 NOI rising marginally QoQ by 3% to Rs2.4bn owing to inch up in portfolio committed occupancy by 100bps to 84%.

we recommend a BUY rating on the stock with a TP of Rs 425/share.

The record date for the distribution would be Nov. 10, 2020. We recommend BUY with a DCF based target price of Rs 390 (14% upside). Resurfacing of Covid cases and extended lockdown remain key risks to our assumptions