Around 85% of the new leasing demand during the quarter was attributed to existing occupiers as they continue to execute their return to office plans. Additionally, the REIT has signed expansion options of 94,000 sq ft during the quarter.
“At Brookfield India REIT, we continue to demonstrate strong operating and financial performance backed by a 6% increase in our organic growth from the previous quarter,” said Alok Aggarwal, Chief Executive Officer of Brookprop Management Services.
According to him, with a healthy acquisition pipeline of 6.4 million sq ft supported by the sustained demand for high-quality assets, the REIT is well poised to capture the growing requirement for commercial real estate in India and uphold its commitment to drive sustainable long-term growth.
The REIT’s adjusted net operating income rose 38% from a year ago to Rs 230 crore, while its operating lease rentals rose 26% from a year ago to Rs 200 crore, primarily due to the addition of its asset Candor Techspace N2 into the portfolio.
Its rental collections remained strong at 99% for the quarter. It has generated net distributable cash flow of Rs 170 crore or Rs 5.13 per unit for the quarter, in line with its guidance. The REIT has announced distribution of Rs 5.10 per unit this quarter, with 52% of distributions tax free for unit holders.
The Brookfield REIT has achieved an effective economic occupancy level of 89% across its properties, a 2% increase over previous quarter. It has reported a 6% growth in adjusted net operating income run rate from last quarter and has an additional growth headroom of 15-20% till stabilization.
Brookfield India Real Estate Trust comprises five large campus format office parks located in Mumbai, Gurgaon, Noida, and Kolkata. Its portfolio consists of 18.6 million sq ft including 14.2 million sq ft of the completed area and 4.4 million sq ft of future development potential.
The REIT, sponsored by an affiliate of Brookfield Asset Management, holds rights to acquire a further 3.7 million sq ft and rights of the first offer on an additional 6.7 million sq ft, both currently owned by members of the Brookfield Group.