Mindspace Business Parks REIT has reported a 9% year-on-year increase in its net operating income (NOI) for the first quarter of fiscal year 2024-25. The NOI reached Rs.496 crore, up from Rs.454 crore in the corresponding quarter of the previous year. This growth is primarily attributed to the robust leasing activity and high occupancy rates across its portfolio.
Mindspace REIT's revenue from operations also witnessed a notable rise, growing by 8% to Rs.547 crore in Q1 FY25 compared to Rs.507 crore in Q1 FY24. The REIT?s strong performance is driven by consistent demand for office spaces in prime locations and the addition of new tenants.
Ramesh Nair, CEO, Mindspace Business Parks REIT, expressed satisfaction with the quarterly results, highlighting the company's strategic leasing efforts and focus on maintaining high occupancy levels. Rohira noted that the company's properties continue to attract leading domestic and international clients, contributing to the sustained growth in NOI.
During the quarter, Mindspace REIT achieved leasing volumes of 1.2 million square feet, with an average rent increase of 15% on renewals. The occupancy rate stood at a healthy 85%, reflecting the ongoing demand for quality office spaces in the markets where Mindspace operates.
Mindspace REIT's portfolio spans major cities including Mumbai, Hyderabad, Pune, and Chennai, encompassing over 31 million square feet of commercial space. The company remains optimistic about the future, with plans to enhance its portfolio through strategic acquisitions and development of new properties.
In addition to its financial performance, Mindspace REIT continues to focus on sustainability and wellness initiatives, aiming to create a positive impact on its tenants and the environment. The company has implemented various green building practices and wellness programs to enhance the overall tenant experience.
Looking ahead, Mindspace REIT anticipates sustained demand for office spaces, driven by the ongoing economic recovery and the return of employees to workplaces. The company aims to capitalize on this demand by maintaining high occupancy rates and continuing its strategic growth initiatives.
The positive Q1 FY25 results underscore Mindspace REIT's strong market position and its ability to deliver consistent growth amidst a dynamic real estate landscape.
