Mindspace Business Parks Reit · NSE:MINDSPACE.RR
Mindspace Business Parks Reit — Investor Day (November 2022)
46 slides from Mindspace Business Parks Reit's investor day presentation, Nov 24, 2022
Slide 1: Exchange filing cover letter for analyst day presentation
November 24, 2022 To, The National Stock Exchange of India Ltd. BSE Limited Exchange Plaza, 5th Floor, 25th Floor, Phiroze Jeejeebhoy Towers, Plot No. C/1, G- Block, Dalal Street, Bandra Kurla Complex, Mumbai- 400001 Bandra (E), Mumbai- 400051. Scrip Symbol “MINDSPACE” (Units) Scrip Code “543217” (U
Slide 2: Investor Meet 24-25 November 2022
Investor Meet 24 – 25 November 2022 mindspacereit.com 1
Slide 3: 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 4: Portfolio Overview
01 Portfolio Overview mindspacereit.com 3
Slide 5: Mindspace Business Parks REIT Portfolio Overview
Mindspace Business Parks REIT Portfolio Overview One of the largest Grade-A office portfolios in India 31.9 msf 86.9% INR 21.6 bn INR 8.2 bn Committed Occupancy NOI in H1FY23 Total Leasable Area (1) Market capitalization(2) on 24.9 msf (2) Presence in 4 out of top 6 Indian office markets o Sponsored
Slide 6: Five Integrated Business Parks
Five Integrated Business Parks Mindspace Madhapur Mindspace Airoli East Hyderabad | 11.8 msf Mumbai Region | 6.8 msf Perspective Completed Area: 9.9 msf; Committed Occupancy: 92.2% Completed Area: 4.7 msf; Committed Occupancy: 88.2% Mindspace Airoli West Gera Commerzone Kharadi Commerzone Yerwada Mu
Slide 7: Five Quality Independent Office Assets
Five Quality Independent Office Assets Commerzone Porur Paradigm, Mindspace Malad Chennai | 0.9 msf (1) Mumbai Region | 0.7 msf Completed Area: 0.9 msf; Committed Occupancy: 59.5% Completed Area: 0.7 msf; Committed Occupancy: 94.9% The Square, Nagar Road The Square, BKC Mindspace Pocharam Pune | 0.8
Slide 8: Proven Track Record of Value Creation
Proven Track Record of Value Creation Foresight to go to new areas and develop business districts which have grown to become major commercial hubs Mindspace Malad, Mumbai Region Mindspace Airoli East, Mumbai Region Year 2000 Year 2007 Today Today One of the first to set-up commercial real estate in
Slide 9: Pioneers in Creating Integrated Business Districts
Pioneers in Creating Integrated Business Districts Land which was once enveloped with boulders and rocks was successfully converted into one of the largest and most preferred business district of Hyderabad Mindspace Madhapur, Hyderabad Gera Commerzone Kharadi, Pune Year 2004 Year 2016 Today Today To
Slide 10: Value Maximization via Redevelopment and New Asset Classes
Value Maximization via. Redevelopment and New Asset Classes Redevelopment of old Venturing into new buildings Repurposing assets verticals like Data Centers Erstwhile Perspective Leasable Area 0.39 msf(1) Redevelopment Average performing mall, converted into a Leasable Area 1.31 msf (1) Key Terms of
Slide 11: Robust Development Pipeline in Each of Our Micro-market
Robust Development Pipeline in Each of Our Micro-market ~1.3 msf addition to the portfolio in FY23 underway; ~45% space Pre-committed Under Construction Status: Historical development and expansion Airoli (W) B9, Mumbai Region (1.1 msf)(1) Commerzone Kharadi B5, Pune (0.7 msf) (1) potential of our P
Slide 12: ROFO Assets to Add Further Scale And Growth
ROFO Assets to Add Further Scale And Growth Strong pipeline spread across Mumbai Region, Chennai and Hyderabad Perspective Current Hyderabad | 1.8 msf 3 currently Commerzone Raidurg identified assets Status: • 1.8 msf pre-leased (1) • Tenant has started fit-out work in the premises • OC received 8.6
Slide 13: Growth Trajectory Since Listing
Growth Trajectory Since Listing Cumulatively distributed INR 22 bn since listing, with more than 90% being tax-free 10.2 msf 25.9 % 2.1 msf INR 273 Bn Gross Leasing(1) Re-leasing Spread Delivered New Market Value as on (Incl. hard option of 52 ksf) on 6.4 msf (2) Developments 30 Sep 22(3) INR 37.5 p
Slide 14: Key Financial Metrics
Key Financial Metrics Delivered consistent growth on key financial metrics Revenue (INR mn) (1) NOI (INR mn) (1) 4,916 4,974 4,172 4,703 3,997 4,014 4,419 3,730 4,269 4,218 4,237 3,586 3,583 3,618 3,595 4,171 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY21 Q4 FY21 Q1 FY22 Q2
Slide 15: Diversified Portfolio of Marquee Tenants
Diversified Portfolio of Marquee Tenants Reduced concentration risk with top 10 tenants contributing 36.4% (Sep 22) vs. 37.2% (Sep 21) Diversified tenant mix across sectors Top 10 tenants Gross Contracted Rentals contribution (36.4%) (1) % split by Gross Contracted Rentals % of total Gross Contracte
Slide 16: Unitholding Pattern as on Sep 2022
Unitholding Pattern as on 30 Sep 2022 Unitholding Summary INR 21,601 Cr 37 % Market Cap (1) % Free- float 593 Mn units Unitholding Pattern (Market Cap : INR 21.6 Bn) (1) Insurance MF NIIs 1.1% 9.6% NPS 0.1% 0.1% Sponsors & Sponsor Public AIFs Group (Others) 0.6% 63% 37% FIIs 43,565 22.0% Total Unith
Slide 17: Beyond Business Operations, Towards Long-term Value
Beyond Business Operations, Towards Long-term Value Commitment to Ecological balance, health & safety Mindspace REIT is First Real Estate entity Committed to 100% certified as Great to join the initiative Renewable Power Place to work Development – 94/100 (5/5 stars) • Development – 94/100 (5/5 star
Slide 18: Asset Overview Mumbai Region
02 Asset Overview Mumbai Region mindspacereit.com 17
Slide 19: Mumbai Region – Infrastructure Upgrade to Drive Demand Uptick
Mumbai Region – Infrastructure Upgrade to Drive Demand Uptick Mindspace REIT’s Parks - “New age district” for the rapidly growing IT/ITeS services, housing the leading IT and fintech companies Map not to scale Presence in the region - 12.9 msf Completed area – 9.9 msf TOWARDS GUJARAT With population
Slide 20: Thane Belapur Belt – Poised to Become the Technology Hub
Thane Belapur Belt – Poised to Become the Technology Hub of Mumbai Region Preferred location for Affordable rentals coupled Over ~300,000+(1)(2) Direct Current operational office Tech/BFSI occupiers because with ease of access enhance Jobs Created Along Thane space of c.28 msf(2) of its proximity to
Slide 21: Current Infra Development Integrating Entire Mumbai Region
Current Infra Development Integrating Entire Mumbai Region Multiple infrastructure projects under implementation to enhance seamless integration MRTS(1) - Suburban Rail and Metro Network Suburban- Total 235 kms MRTS(1) – Navi Mumbai Metro Across 390 of metro rail kms; 8 MM estimated to passengers be
Slide 22: Mindspace Airoli West, Mumbai Region – Asset Overview
Mindspace Airoli West, Mumbai Region – Asset Overview Project Details Focus On Sustainability and Safety Project land area c.50.0 acres Total Leasable Area (1) c.5.2 msf 7 (3) 4.5 Green msf Buildings Committed Occupancy 68.7% In-place Rent INR 57.6 psf Received awards / certification: ‘Sword of Hono
Slide 23: Mindspace Airoli West, Mumbai Region – Project Layout
Mindspace Airoli West, Mumbai Region – Project Layout Key Updates B10 Proposed DESH policy expected to revive demand for SEZ Assets B8 You are De-notified Building 9 has seen here strong occupier interest Data Center Development Demand trends highlight inherent attractiveness of the micro market B7
Slide 24: Mindspace Airoli East, Mumbai Region – Asset Overview
Mindspace Airoli East, Mumbai Region – Asset Overview Project Details Focus On Sustainability and Safety Project land area c.50.1 acres Total Leasable Area (1) c.6.8 msf 11 4.4 Green msf Buildings Committed Occupancy 88.2% In-place Rent INR 54.4 psf Received awards / certification: ‘Sword of Honour’
Slide 25: Mindspace Airoli East, Mumbai Region – Project Layout
Mindspace Airoli East, Mumbai Region – Project Layout Airoli in 2005 Future Development Residential Mindspace Airoli East today Catchment A Business Destination Highstreet Thane - Belapur Thane - Belapur Road Road Exit Gate Mindspace Airoli (East) Entry Gate Direct entry to the Airoli Railway is the
Slide 26: Re-energising the Park with Building and Infra Upgrades
Re-energising the Park with Building and Infra Upgrades Before Current Façade of old building Revamped the building’s exterior façade Old entrance gate Renovated entrance gate mindspacereit.com 25
Slide 27: Utilising Covid-19 downtime efficiently to create a WOW factor
Utilising Covid-19 downtime efficiently to create a “WOW” factor Matching world-class standards, while enhancing the biodiversity within the park Outside seating Refurbished hardscape & landscape Attractive aesthetics Recreational spaces mindspacereit.com 26
Slide 28: Addition of Highstreet to Augment the Park’s Eco system
Addition of Highstreet to Augment the Park’s Eco system Highstreet adjoining the Thane-Belapur Road External podium retail and F&B structure Proposed Retail Outlets mindspacereit.com 27
Slide 29: Asset Overview Pune
03 Asset Overview Pune mindspacereit.com 28
Slide 30: Pune – Thriving Office Market with Excellent Social Infrastructure
Pune – Thriving Office Market with Excellent Social Infrastructure Favorable demographics and social infrastructure led office market growth Commerzone Yerwada Presence in the region – 5.4 msf Completed area – 3.9 msf The Square SBD East largest micro market in Pune Nagar Road with ~34 msf of Grade
Slide 31: Commerzone Yerwada, Pune – Asset Overview
Commerzone Yerwada, Pune – Asset Overview Project Details Focus On Sustainability and Safety Project land area c.25.7 acres Total Leasable Area (1) c.1.7 msf 5 1.6 Green msf Buildings Committed Occupancy 98.4% In-place Rent INR 65.6 psf Received awards / certification: ‘Sword of Honour’ Mark to Mark
Slide 32: Commerzone Yerwada, Pune - Project Layout
Commerzone Yerwada, Pune - Project Layout Aesthetically designed buildings integrated with open spaces and Landscape gardens mindspacereit.com 31
Slide 33: Gera Commerzone Kharadi, Pune – Asset Overview
Gera Commerzone Kharadi, Pune – Asset Overview Project Details Focus On Sustainability and Safety Project land area c.25.8 acres Total Leasable Area (1) c.2.9 msf 4 2.9 Green Buildings(3) Msf (3) Committed Occupancy 100% In-place Rent INR 72.5 psf Received awards / certification: ‘Sword of Honour’ M
Slide 34: Gera Commerzone Kharadi, Pune - Project Layout
Gera Commerzone Kharadi, Pune - Project Layout B6 B5 B1 B4 B2 B3 Under Construction Completed Mindspace REIT’s Share – Building 3, 4, 5 & 6 mindspacereit.com 33
Slide 35: Commerzone Kharadi, Pune – Recreating Workspaces using Biophilic Design
Commerzone Kharadi, Pune – Recreating Workspaces using Biophilic Design Reconnecting millennial professionals with nature Panoramic view of the park Biophilic Landscape Attractive Aesthetics Shallow Stream and Sand Beds mindspacereit.com 34
Slide 36: The Square Nagar Road, Pune – Asset Overview
The Square Nagar Road, Pune – Asset Overview Project Details Focus On Sustainability and Safety Project land area c.10.1 acres Total Leasable Area (1) c.0.8 msf 1 0.2 Green msf Building Committed Occupancy 100% In-place Rent INR 71.1 psf Received awards / certification: ‘Sword of Honour’ Mark to Mar
Slide 37: ESG
04 ESG mindspacereit.com 36
Slide 38: ESG Framework: Our Approach towards Building a Sustainable Ecosystem
ESG Framework: Our Approach towards Building a Sustainable Ecosystem Our Purpose Building a sustainable ecosystem Strategic Pillars and Key Focus Areas Resource Conservation and Employee and Community Responsible Business Conduct Efficiency Relations • Human Capital • Human Rights & Ethical • Carbon
Slide 39: Governance Structure
Governance Structure Cross-functional ESG committee responsible for identifying, finalizing and monitoring ESG roadmap Responsible for the implementation of ESG strategy, sustainability initiatives and roadmap to achieve the set targets • Executive Committee to oversee ESG implementation Provides sp
Slide 40: ESG: Our Journey So Far and Way Forward
ESG: Our Journey So Far and Way Forward Released First “Sustainability Report” Participation in best-in-class benchmarking such as DJSI Built one of the largest portfolios of LEED / IGBC certified buildings Enhanced disclosures aligning with sustainability standards Journey ahead Journey so far Achi
Slide 41: Focus On High Corporate Governance Standards
Focus On High Corporate Governance Standards Strong governance framework complemented by partnership with leading institutional investors Mindspace REIT: Top-Notch Standards Six Member Board / Independent Chairman Deepak Ghaisas Manisha Girotra Bobby Parikh Independent Member Independent Member Inde
Slide 42: Our Commitment to Build an ESG Centric Ecosystem
Our Commitment to Build an ESG Centric Ecosystem Energy Efficiency - Solar power Water Management - Enhancement Waste Management - Ensured reuse of capacity of 1.8 MW through PV in STP recycling with MBR technology 80-100% construction waste generated modules on rooftop upgrade across our Green Buil
Slide 43: Strong commitment towards reducing Carbon Footprint across projects
Strong commitment towards reducing Carbon Footprint across projects India’s First Real-Estate Entity to Join Climate Group’s EV 100 and RE 100 Initiatives Committing to 100% renewable energy by 2050 Phased transformation to renewable energy (1) 100% 35% 50% 2025 2030 2050 • To build a sustainable ec
Slide 44: Shaping the Future Minds of our Nation
Shaping the Future Minds of our Nation Community School at Gambhiraopet, in partnership with the State government • Mindspace Business Parks REIT has contributed to the development of a new School in Gambhiraopet, a quaint village in Sircilla district of Telangana • Designed to accommodate 400 child
Slide 45: Changing Lives via Supporting the Cause of Education
Changing Lives via Supporting the Cause of Education Room to Read “At Room to Read, we feel honoured to partner with Mindspace to bring quality educational opportunities to children in the underserved communities in India. We thank you for your continued commitment towards our mission of aiding in c
Slide 46: Thank You
Thank You Investor Relations Enquiries: Kedar Kulkarni (Finance & Investor Relations) Email id: ir@mindspacereit.com mindspacereit.com 45
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