Mindspace Business Parks Reit · NSE:MINDSPACE.RR
Mindspace Business Parks Reit — Q4 FY24 Earnings Presentation
28 slides from Mindspace Business Parks Reit's earnings presentation, May 2024
Slide 1: Investor Presentation
Investor Presentation May 2024 mindspacereit.com 1
Slide 2: Disclaimer
Disclaimer By attending the meeting where this presentation (“Presentation”) is made, or by reading the Presentation materials, you agree to be bound by the following limitations: This Presentation (a) is for information purposes only without regards to specific objectives, financial situations or n
Slide 3: Mindspace Business Parks REIT Portfolio Overview
Mindspace Business Parks REIT Portfolio Overview One of the largest Grade-A office portfolios in India 33.2 msf 90.6% INR 205 bn INR 18,959 Mn(4) Committed Occupancy NOI in FY24 Total Leasable Area (1) Market capitalization(2) (ex. Pocharam) (2) Presence in 4 out of top 6 Indian office markets o Spo
Slide 4: Delivered Robust Performance Since Listing
Delivered Robust Performance Since Listing Cumulative distribution of INR 66.3 p.u. since listing 20.7% c.15 msf (1) Releasing Spread on Gross Leasing 10.6 msf INR 39.3 Bn 12.4 % Total distribution(3) Annualized returns(7) 2.3 msf 7.8 % p.a.p.m. Delivered New Cost of Debt as on 31 Developments Mar 2
Slide 5: Five Integrated Business Parks
Five Integrated Business Parks Mindspace Madhapur Mindspace Airoli East Hyderabad | 13.1 msf (1) Mumbai Region | 6.4 msf Completed Area: 9.6 msf; Committed Occupancy: 96.4% Completed Area: 4.7 msf; Committed Occupancy: 82.2% Mindspace Airoli West Gera Commerzone Kharadi Commerzone Yerwada Mumbai Reg
Slide 6: Five Quality Independent Office Assets
Five Quality Independent Office Assets Commerzone Porur Paradigm, Mindspace Malad Chennai | 1.1 msf Mumbai Region | 0.8 msf Completed Area: 1.1 msf; Committed Occupancy: 84.0% Completed Area: 0.8 msf; Committed Occupancy: 99.6% The Square, Nagar Road Mindspace Pocharam The Square, BKC Pune | 0.8 msf
Slide 7: Diversified Portfolio of Marquee Tenants
Diversified Portfolio of Marquee Tenants Top 10 tenants contributing 28.1% (Mar 24) vs. 29.7% (Dec 23) Diversified tenant mix across sectors Top 10 tenants Gross Contracted Rentals contribution (28.1%) (1) (1) % split by Gross Contracted Rentals % of total Gross Contracted Rentals # of parks Manufac
Slide 8: Key Highlights: Q4FY24 & FY24
Key Highlights: Q4FY24 & FY24 mindspacereit.com 8
Slide 9: FY24: Solid Performance fuelled by Sustained Demand for Grade-A Assets
FY24: Solid Performance fuelled by Sustained Demand for Grade-A Assets 90.6% Committed Occupancy excl. Pocharam (1) 3.6 msf Gross Leasing during FY24 2.0 msf Highest ever quarterly Gross Leasing in Q4 FY24 since listing 1.2 msf Highest ever quarterly gross leasing in Airoli parks in Q4 FY24 since li
Slide 10: Key Operating Indicators Q4 FY24 FY24
Strong Leasing results in Committed Occupancy levels surpassing 90%(1) Key Operating Indicators Q4 FY24 FY24 Gross Leasing 2.0 msf 3.6 msf Re-leased Area 1.1 msf 2.5 msf New and Vacant Area Leased 0.9 msf 1.1 msf Re-leasing Spread(2) 16.7 % 14.3 % on 1.9 msf on 3.4 msf Average Rent for Area Leased I
Slide 11: Key Financial Indicators Q4 FY24 FY24
Financial Performance Supported by Rising Organic Cash Flows Key Financial Indicators Q4 FY24 FY24 Figures in INR Mn Revenue from Operations(1)(2)(4) 5,948 11.0% Y-o-Y 23,512 13.7% Y-o-Y Net Operating Income(1)(3)(4) 4,768 9.3% Y-o-Y 18,959 11.9% Y-o-Y Distribution 2,829 (0.6%) Y-o-Y 11,362 0.3% Y-o
Slide 12: Modern and Sustainable workplaces attracting occupiers
Modern and Sustainable workplaces attracting occupiers High Quality Portfolio with 6 out of 9 parks(1) achieving >95% committed occupancy levels 100% 100% 100% 98.0% 96.4% 96.1% Gera The Square The Square Mindspace Mindspace Commerzone Commerzone Nagar Road BKC Malad Madhapur Yerwada Kharadi Pune Q4
Slide 13: SEZ reforms and upgrade programs helped fast track leasing
SEZ reforms and upgrade programs helped fast track leasing Building 5 at Mindspace Airoli West Pre-Upgradation Post-Upgradation Upgraded Building Converted to Non- Leased immediately post meeting modern Processing Area (SEZ) conversion demands mindspacereit.com 13
Slide 14: Key Strategic initiatives and Sustainability achievements
Key Strategic initiatives and Sustainability achievements Consolidating ownership through Initiated Redevelopment acquisition of c.3.0 msf 1st Ranked in Asia c. 0.24 msf Leasable area acquired in Commerzone Porur 100/100 c. 42 ksf Development Score Acquisition in Demolition through Commerzone ‘Implo
Slide 15: Our Growth Drivers
Our Growth Drivers mindspacereit.com 15
Slide 16: Embedded opportunities within Portfolio to drive NOI and Occupancy growth
Embedded opportunities within Portfolio to drive NOI and Occupancy growth Focused execution and leveraging growth levers to drive NOI growth • Lease up of vacant Area (ex. Pocharam): 2.4 msf • ~80% Of Vacancy is in SEZ area • Strong leasing evidenced for converted ~9.3 Organic NOI spaces Growth msf
Slide 17: Organic development to drive the next phase of growth
Organic development to drive the next phase of growth c.4.4 msf area under development is estimated to complete over next 3-4 years Commerzone Kharadi Mindspace Airoli East Mindspace Airoli West Building 4 (~1.0 msf) Highstreet (~0.05 msf) Building 8- Data center (~0.3 msf) Estimated Completion – Q3
Slide 18: Near term Portfolio Growth Potential
Near term Portfolio Growth Potential Commerzone Raidurg The Square BKC 98 Hyderabad Mumbai Continuous sponsor pipeline (~15 msf potential) Two assets already offered(1) 1.8 msf 0.15 msf Leased to US tech giant Leased to BFSI tenant In addition to sponsor assets, third party inorganic opportunities b
Slide 19: Re-energizing Parks
Re-energizing Parks mindspacereit.com 19
Slide 20: Dynamic Environment, Vibrant Workspaces
Dynamic Environment, Vibrant Workspaces mindspacereit.com 20
Slide 21: Infusing modern design elements to elevate entry experience
Infusing modern design elements to elevate entry experience Tailoring common areas to meet the evolving preferences of tenants mindspacereit.com 21
Slide 22: Attracting Millennial Workforce of India
Attracting Millennial Workforce of India Amenities and high safety standards within our parks make us the partner of choice for occupiers Landscaped podiums Amphitheatre & lobby areas Club house and play area Biophilic landscaped gardens mindspacereit.com 22
Slide 23: Experience Center: An Inclusive Ecosystem for all Lifestyle & Business Needs
Experience Center: An Inclusive Ecosystem for all Lifestyle & Business Needs Enhancing the Mindspace offering with a modern club facility with top notch amenities c. 130 ksf Exclusive and premium space Perspective Offers enriching entertainment, sports, lifestyle, recreation and dining experiences m
Slide 24: Annexure
Annexure mindspacereit.com 24
Slide 25: Key Financial Metrics
Key Financial Metrics Delivered consistent growth on key financial metrics Revenue (INR mn) (1) NOI (INR mn) (1,3) 5,999 4,912 5,963 5,948 120 (2) 4,818 120 (2) 4,768 (87) (2) 5,440 5,604 4,551 4,545 5,879 4,792 4,731 186 (2) 5,360 186 (2) 4,364 4,974 4,172 4,916 3,997 4,014 4,703 5,254 4,365 Q4 FY2
Slide 26: Low Leverage Offers Balance Sheet Headroom for Future Growth
Low Leverage Offers Balance Sheet Headroom for Future Growth INR 62,922 Mn 21.1 % INR 9,155 Mn 7.8% 3.6 x Net Debt to Undrawn Committed Cost of Debt Net Debt (1) Net Debt to EBITDA(5) Market Value (1) Facilities (p.a.) Diversified debt Book with a mix of debentures Well staggered maturity profile an
Slide 27: Unitholding Pattern as on 31 March 2024
Unitholding Pattern as on 31 March 2024 Unitholding Summary INR 20,482 Cr 36.5% Market Cap(1) % Free- float 593 Mn units Unitholding Pattern (Market Cap : INR 205 Bn) (1) MF NIIs AIF 0.9% 10.9% 0.5% Insurance 1.7% NPS Sponsors & Sponsor Public 0.2% Group (Others) DIIs 3.2% Total 63.5% 36.5% Unithold
Slide 28: Thank You
Thank You Investor Relations Enquiries: Nitin Garewal (Finance & Investor Relations) Email id: ir@mindspacereit.com mindspacereit.com 28
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