Embassy REIT second quarter operating income up 30% at Rs 624 cr

Embassy Office Parks REIT on Friday reported a 30 per cent year-on-year growth in net operating income at Rs 624 crore for the quarter ended September and said it will distribute Rs 537 crore to the unit holders.

In a regulatory filing, Embassy REIT informed that the company has declared a distribution of Rs 536.50 crore, which is Rs 5.66 per unit for the quarter ended September.

The distribution comprises Rs 108.06 crore in the form of interest, less applicable taxes, if any, Rs 240.76 crore in the form of dividend and Rs 187.68 crore in the form of proceeds of amortization of SPV (Special Purpose Vehicle) level debt.

The record date for the Q2 FY2022 distribution is November 10, 2021, and it will be paid on or before November 13, 2021.

Embassy REIT gave on lease 7.13 lakh square feet of office space during the second quarter of the current financial year.

Michael Holland, Chief Executive Officer of Embassy REIT, said: “We delivered our strongest leasing activity since the start of the pandemic. We successfully completed a significant Rs 4,600 crores debt raise at an impressive 6.5 per cent interest rate and we received global recognition for our continuing commitment to sustainability.”

The company achieved a stable portfolio occupancy of 89 per cent, with a 15 per cent rent increase on 1.4 million square feet across 22 leases.

Embassy REIT said the construction is in full swing on 5.7 million square feet projects, with 1.1 million square feet JP Morgan campus on track for handover by year-end.

On operations highlights, the company said it has collected over 99 per cent of office rents on 32.3 million square feet operating portfolio.

Embassy REIT, sponsored by Embassy group and Blackstone, is India’s first publicly listed Real Estate Investment Trust (REIT). It owns and operates a 42.4 million square feet portfolio of eight infrastructure-like office parks and four city-centre office buildings in India’s best-performing office markets of Bengaluru, Mumbai, Pune, and the National Capital Region (NCR).

Embassy REIT’s portfolio comprises 32.3 million square feet completed operating area. The portfolio also comprises strategic amenities, including two operational business hotels, four under-construction hotels, and a 100MW solar park supplying renewable energy to tenants.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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