reit: Brookfield India REIT leases 5.36 lakh sq ft office space in Q3

The REIT has planned distribution of Rs 150 crore or Rs 5 per unit this quarter, with 34% of distributions tax free for unit holders.

It has collected 99% of contracted rentals, while achieving an average 7% escalation on 0.5 million sq ft of leased area.

During the quarter, the REIT completed the acquisition of Candor Techspace N2 for Rs 4,000 crore. This acquisition was partially financed through India’s first preferential issue worth Rs 950 crore to institutional investors by a listed REIT.

“We also increased our total leasable area by 32% with the acquisition of Candor Techspace N2 in Noida. The country’s high growth IT sector is driving a strong demand for safe, high-quality workplaces. Occupiers are looking to accommodate an even larger workforce today and a stronger core business as they draw their back to office plans.” said Alok Aggarwal, Chief Executive Officer, Brookprop Management Services.

It has achieved a nearly 40 basis points reduction in borrowing costs and continues to maintain a robust balance sheet with 33% loan-to-value ratio post the acquisition of N2.

Income from operating lease rentals stood at Rs 140 crore, a 4.3% decrease from a year ago and net operating income at Rs 150 crore, down 7.7% with an expected pick up in subsequent quarters driven by the new leases contracted in December quarter.