Embassy REIT: Rental revision, project pipeline, client base growth drivers

Given that market rents are 30 per cent higher than the current rents that tenants pay, there is significant room for increasing rates for expiring leases.

Even as the residential real estate market is struggling to recover due to muted demand, the commercial segment is faring better. This has helped commercial real estate majors to reap the dividends of improving occupancies and higher rentals. Embassy Office Parks Real Estate Investment Trust (Embassy REIT) is a major beneficiary of this trend. 

Rental growth, brownfield and greenfield expansion, and value-added services are expected to be the growth triggers. On the rental front, the management has maintained a strong outlook for its operational and upcoming assets. 

For its operational assets, the upside will come when a fifth of the