Mindspace REIT's net operating income rises 5% to Rs 503 crore in Q2

Mindspace Business Parks Real Estate Investment Trust (REIT) recorded a net operating income (NOI) of Rs 503.7 crore for the second quarter of the financial year 2025 (FY25), an increase of 5 per cent year-on-year (YoY).

 

However, the REIT's net profit declined by 11.03 per cent YoY to Rs 125.63 crore, missing the Bloomberg estimate of Rs 164.1 crore. The REIT’s earnings before interest, taxes, depreciation, and amortisation (Ebitda) were reported at Rs 474.1 crore, beating the estimate of Rs 472.33 crore.

 

Meanwhile, the REIT’s total expenses stood at Rs 177.9 crore, up 7.03 per cent YoY, with gross debt at Rs 7,800 crore.

 

 

The REIT declared a distribution of Rs 305.4 crore, or Rs 5.15 per unit, for Q2 FY25, 7.5 per cent higher than the year-ago period. REITs are mandated to distribute at least 90 per cent of their taxable income to unitholders.

 

Ramesh Nair, chief executive officer of K Raheja Corp Investment Managers Private Limited, the manager of Mindspace REIT, said, "We leased around 1 million square feet (msf) of our completed portfolio and increased our committed occupancy to 91.7 per cent, aligning with the sector’s need for premium, scalable solutions.”

 

Nair stated that the REIT’s NOI surpassed the Rs 500 crore mark for the first time. “The expansion of our data centre portfolio to 1.68 msf, with three new built-to-suit facilities, supports the increasing demand for digital infrastructure. With over 8 msf of ongoing and upcoming projects, we are well-positioned to support the sector’s evolving needs and enable long-term value creation,” he added.

 

The REIT recorded gross leasing of 2.1 msf in Q2 FY25 and is actively working on an under-construction pipeline of 4.4 msf, with 1.3 msf planned for completion in FY25.