Embassy REIT raises Rs 1,000 crore via 5-year paper to fund operations

Embassy Office Parks REIT has raised Rs 1,000 crore through five-year bonds to fund its operations, market sources said. The coupon rate on these bonds is 7.35 per cent.

A Real Estate Investment Trust (REIT) is an entity created with the main purpose to invest funds in the operation or ownership of the real estate to further generate income for investors.

These bonds floated by Embassy REIT carry “AAA” rating, reflecting the trust’s comfortable loan-to-value (LTV) ratio, which is supported by a cap on incremental borrowings and is driven by low debt and strong debt protection metrics.

Embassy REIT is registered as an