Mindspace REIT Q3 results: Net operating income up 8% at ₹522 crore

Realty firm Mindspace Business Parks REIT on Friday reported an 8% increase in its net operating income (NOI) to ₹521.8 crore for the quarter ended December 2024.

Its net operating income stood at ₹473.1 crore in the year-ago period.

In a regulatory filing on Friday, the company informed that it has declared a distribution of ₹5.32 per unit aggregating to ₹315.48 crore for its unitholders.

The distribution comprises of dividend of ₹3.20 per unit aggregating ₹189.76 crore, interest of ₹0.22 per unit, aggregating ₹13.04 crore, repayment of SPV debt of ₹1.88 per unit, aggregating ₹111.48 crore and other income of ₹0.02 per unit, totalling ₹1.18 crore.

For the December quarter of 2024-25 fiscal, the company has declared 11% higher distribution than the year-ago period.

Ramesh Nair, CEO, Mindspace REIT, said, "We delivered a strong performance this quarter, setting key milestones. We leased 1.7 million (17 lakh) square feet, including 1 million (10 lakh) square feet in pre-leases...".

"This positions us to achieve our highest annual leasing since listing. NOI grew 8.3% year-on-year to ₹5.2 billion, and distributions rose 10.9%, reflecting our commitment to investor value," Nair said.

He said the launch of the company's second data centre in Airoli West, with three more in the pipeline, further strengthens its portfolio.

"With a robust leasing pipeline and solid results, we remain on track for steady growth and long-term value creation," he said.

Mindspace REIT said the company has made an offer to acquire 100% equity shareholding in Sustain Properties Pvt Ltd, which houses around 1.8 million (18 lakh) square feet of IT Park at Commerzone Raidurg, Hyderabad. It is also evaluating another potential third-party acquisition opportunity in the city.

Mindspace Business Parks REIT, sponsored by K Raheja Corp group, was listed on the Indian bourses in August 2020. It owns office portfolios in the Mumbai Region, Pune, Hyderabad, and Chennai.

The company has a portfolio of 34.8 million (348 lakh) square feet comprising 26.8 million square feet of completed area, 4.6 million square feet of area under construction and 3.4 million square feet of future development.