Mindspace Business Parks REIT Q2 Results Review - Steady Leasing Traction: ICICI Securities

With leasing momentum improving and office physical occupancy rising, the REIT manager expects portfolio occupancy levels to rise.

<div class="paragraphs"><p>Mindspace in Airoli. (Source: Company website)</p></div>
Mindspace in Airoli. (Source: Company website)

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. 

ICICI Securities Report

Mindspace Business Parks real estate investment trust delivered a resilient performance in Q2 FY23 with office rental collections of over 99% and 4% QoQ increase in net operating income to Rs 4.2 billion at a NOI margin of 83.9%.

Overall portfolio occupancy as of Sep-22 was at 82.8% (up 70 bps QoQ) with committed occupancy at 86.9% (up 130 bps QoQ).

In H1 FY23, of the 0.8 million square feet of expiries, the REIT manager has re-leased 0.6 msf of space (0.2 msf space vacated) and also leased additional area of 0.4 msf which was vacated in FY22, leading to a net positive leasing of 0.2 msf.

With leasing momentum improving and office physical occupancy rising (up 10% QoQ to 41%), the Mindspace REIT manager expects portfolio occupancy levels to rise going ahead.

Click on the attachment to read the full report:

ICICI Securities Mindspace Q2FY23 Results.pdf


This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.