Mindspace Business Parks Reit · NSE:MINDSPACE.RR
Mindspace Business Parks Reit — Investor Day (March 2024)
38 slides from Mindspace Business Parks Reit's investor day presentation, March 2024
Slide 1: Analyst Day
Analyst Day March 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: Our Performance
01 Our Performance mindspacereit.com 3
Slide 4: Delivered Robust Performance since Listing
Delivered Robust Performance since Listing Cumulatively distributed INR 61.5 p.u. since listing, with more than 90% being tax-free 13 msf 21.9 % 2.3 msf 7.0% CAGR Gross Leasing (1) Re-leasing Spread Delivered New In-place rent on 8.7 msf Developments INR 36.5 Bn 12.3 % 21 % 7.8 % p.a. Weighted Avera
Slide 5: Hyderabad Overview
02 Hyderabad Overview mindspacereit.com 5
Slide 6: Hyderabad – Second largest Tech hub of India
Hyderabad – Second largest Tech hub of India 9.1 Lakh 60% Tech workforce in Telangana Share of GCCs in Hyderabad driven by Hyderabad(1) leasing between CY20-23(2) T-Hub 2.0, the world’s largest technology incubator (1) ~7.7 msf 2nd Avg. net annual Highest average annual absorption in last 5 years(3)
Slide 7: World Class Infrastructure attracting talent and aiding office demand
World Class Infrastructure attracting talent and aiding office demand Durgam Cheruvu Cable Bridge connecting Madhapur to Jubilee Hills Announced 70 km Metro rail corridors connecting Airport from four corners of the city – Phase 2 (Phase 1 Operational) Nehru Outer Ring Road connecting Madhapur Rajiv
Slide 8: Hyderabad’s GCC Landscape
Hyderabad’s GCC Landscape 180+ 24% 72% 200k+ GCCs in Hyderabad(1) % share of Pan India GCC Of Hyderabad GCC Talent pool in GCC leasing between CY20-23(2) leasing in SBD* between Hyderabad(3) CY20-23(2) Hyderabad’s GCC Leasing Sector-Wise Major GCCs present in Hyderabad (CY20-23)(2) Healthcare & Phar
Slide 9: Western region of Hyderabad dominates the Technology Office landscape
Western region of Hyderabad dominates the Technology Office landscape Established Micro Market (Madhapur, Hitec city,Raidurg) Extended Micro Market (Gachibowli, Financial District) Future Micro Market (Kokapet, Manikonda) Located strategically in the heart of IT corridor, Madhapur remains the prime
Slide 10: Madhapur as the preferred office market drives highest absorption in Hyderabad
Madhapur as the preferred office market drives highest absorption in Hyderabad 70-80 2nd 71 msf 65% Rs psf (in Size) 58% share of City’s Share of net absorption in last Highest rentals amongst all Largest micro market across office stock(1) 5 years (1) micro markets India (1) Source: m i n d s (1) p
Slide 11: Madhapur - Home to large scale commercial developments across asset classes
Madhapur - Home to large scale commercial developments across asset classes WESTIN Boasts of Premium Shopping centers and Luxury hotels First Ikea store in India Madhapur houses the marquee offices of occupiers such as Amazon, JP Morgan, Novartis, Qualcomm, Verizon and many more Source: m i n d s pP
Slide 12: Mindspace Madhapur
03 Mindspace Madhapur mindspacereit.com 12
Slide 13: Mindspace Madhapur – The Largest Park in Hyderabad
Mindspace Madhapur – The Largest Park in Hyderabad 13.1 msf 9.6 msf c.95 % Leasable Area(1) Completed Area Committed Occupancy mindspacereit.com 13 Note: Data as of 31 Dec 2023 (1) Leasable Area includes 9.6 msf Completed Area, 3.1 msf Under-construction Area and 0.5 msf Future Development Area
Slide 14: Integrated Ecosystem Spanning Across 110 Acres
Integrated Ecosystem Spanning Across 110 Acres Being Redeveloped 420+ Keys Being Redeveloped Proposed Experience Center Raidurg Metro station Vantage Cafe 165+ Keys 0.8 msf Mindspace enjoys superior connectivity and accessible Retail and Hotel facilities within the park mindspacereit.com 14
Slide 15: A Commanding Presence in Madhapur Office Landscape
A Commanding Presence in Madhapur Office Landscape Market Share of completed 14% stock in Madhapur(1) Footprint c. 16.5 msf c. 13.1 3.5 c. msf msf Mindspace REIT Sponsor Portfolio (2) Portfolio Mindspace with prominent market share enjoys significant potential for expansion and drive the competitive
Slide 16: Diversified Portfolio of Marquee Tenants
Diversified Portfolio of Marquee Tenants Consistent growth in rentals with contribution of ~40% to overall NOI Rental CAGR 7.7% since listing GCC Healthy Committed c. 95% Occupancy 100+ Large occupier base GCC GCC GCC Direct employment (1) c. 85k generation c.70% GCC Physical occupancy % Share of GC
Slide 17: Dynamic Environment, Vibrant Workspaces
Dynamic Environment, Vibrant Workspaces mindspacereit.com 17
Slide 18: Energized Landscape for Business Excellence
Energized Landscape for Business Excellence mindspacereit.com 18
Slide 19: 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 19
Slide 20: Proposed Experience Center: An Inclusive Ecosystem for all Lifestyle & Business Needs
Proposed 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 (1) Exclusive and premium space Perspective Offers enriching entertainment, sports, lifestyle, recreation and dining
Slide 21: Curated mix of amenities enhancing work place experience
Curated mix of amenities enhancing work place experience Badminton | Squash | Indoor-Outdoor Cafes Bar and Lounge Tennis Yoga | Meditation | Aerobic State of the art gym facility Half Olympic Size Lap Pool Rooms mindspacereit.com 21 Above images are representative images
Slide 22: SOCIALising at Vantage Café in the Park
SOCIALising at Vantage Café in the Park Launched the first-ever One of the largest SOCIAL SOCIAL in Hyderabad OUTLETS in the country mindspacereit.com 22
Slide 23: Unlocking value & fostering growth through strategic redevelopment initiatives
Unlocking value & fostering growth through strategic redevelopment initiatives Re-development – Building 1 Building 1 Building 8 0.8 msf 3.6x c.3 msf m iNote: ndspa Images c e r e i t shown . c o m are Perspectives 23
Slide 24: Commerzone Raidurg (ROFO) | Setting benchmark of new age workplaces
Commerzone Raidurg (ROFO) | Setting benchmark of new age workplaces c. 2.8 msf campus c. 1.8 msf ROFO opportunity Entire 1.8 msf leased to Qualcomm Qualcomm’s largest campus in India Commerzone Raidurg mindspacereit.com 24
Slide 25: Commerzone Raidurg
Commerzone Raidurg mindspacereit.com 25
Slide 26: Sponsor expanding footprint in Hyderabad
Sponsor expanding footprint in Hyderabad c.3.6 msf c.15 Acres Project in Raidurg Hyderabad Partnered with Global Private Equity Player mindspacereit.com 26
Slide 27: Mindspace REIT Growth Drivers
04 Mindspace REIT Growth Drivers mindspacereit.com 27
Slide 28: NOI and Occupancy Growth Drivers
NOI and Occupancy Growth Drivers Focused execution and leveraging growth levers to drive NOI growth Increased Occupancy ~ 83% Vacancy in SEZ • New SEZ demarcation guidelines to aid Airoli leasing Vacant area (excl. Pocharam) 2.4 msf 10 • c.10 msf of NOI growth opportunity Organic NOI Growth ~ msf (V
Slide 29: Lease up of Vacant Area
Driving portfolio growth through occupancy growth and Organic development Organic Revenue Generation potential of c.10 msf in the medium term Lease up of Vacant Area c. 3.0 msf Area under Development c. 4.4 msf(1) c. 10.0 msf Future Development (Across Airoli and Madhapur) c. 2.5 msf (2) mNote indsp
Slide 30: 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) Mindspace Madhapur Mindsp
Slide 31: Delivering Occupancy Growth
Delivering Occupancy Growth Non-SEZ portfolio has achieved pre-COVID c. 99% c. 95% c. 99% occupancy levels(1) Pune Madhapur Airoli (Non-SEZ) Decks cleared for SEZ space unlocking; Strong demand for Non SEZ spaces in Airoli c. 0.4 msf c. 1.5 msf c. 2.3 msf Vacant SEZ Area expected to Conversion to NP
Slide 32: Navi Mumbai – A Preferred Location with Accessible Talent
Navi Mumbai – A Preferred Location with Accessible Talent Navi Mumbai, Pune & Navi Mumbai secured the 3rd While Navi Mumbai ranks the best in Hyderabad ranked amongst rank, 2nd time in the row, in terms of traffic index, with the top 3 in terms of overall Swachh Survekshan 2023 inauguration of MTHL
Slide 33: Rapid Infrastructure Growth to spur Navi Mumbai Office Demand
Rapid Infrastructure Growth to spur Navi Mumbai Office Demand Multiple infrastructure projects to enhance seamless connectivity TransMumbai Navi HarborInternational Link Airport perspective Airport to commence Opened inoperations 2024 by March 2025 • Strong demand from domestics & BFSI companies • E
Slide 34: Airoli becomes a beneficiary of multiple infra projects in all directions
Airoli becomes a beneficiary of multiple infra projects in all directions Airoli Katai Naka Tunnel Road Announced commencement date in 2024 for Phase 2 Navi Mumbai metro commenced in 2023 Kalwa Bridge Note: Publicly available information mindspacereit.com 34
Slide 35: Inorganic growth through ROFO assets
Inorganic growth through ROFO assets Commerzone Raidurg The Square BKC 98 Hyderabad Mumbai Continuous sponsor pipeline (~15 msf potential) Two assets had been offered ~ 1.8 msf ~ 0.15 msf Leased to Qualcomm Leased to BFSI tenant In addition to sponsor assets, third party inorganic opportunities bein
Slide 36: One of the Largest Grade A Office Portfolios in India
Mindspace REIT | Charting the Growth Forward One of the Largest Grade A Office Portfolios in India High Quality, Large Scale Stability in Cash flows, ~ 33.1 msf (1) Total Leasable Area across key Indian office markets Embedded Growth Strong organic growth potential Focus on Corporate Long-term Tenan
Slide 37: Key Definitions
Key Definitions Asset SPVs Collectively, Avacado, Gigaplex, Horizonview, Intime, KRIT, KRC Infra, MBPPL and Sundew Occupied Area + Committed Area Committed Occupancy (%) Completed Area Committed Area Completed Area which is unoccupied but for which letter of intent/ agreement to lease have been sign
Slide 38: Thank You
Thank You Investor Relations Enquiries: Nitin Garewal (Finance & Investor Relations) Email id: ir@mindspacereit.com mindspacereit.com 38
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