Mindspace Business Parks Reit · NSE:MINDSPACE.RR
Mindspace Business Parks Reit — Q2 FY25 Earnings Presentation
28 slides from Mindspace Business Parks Reit's earnings presentation, Nov 12, 2024
Slide 1: Corporate Presentation Q2 FY25
Corporate Presentation Q2 FY25 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 34.7 msf 91.7% INR 211 bn INR 10,001 Mn(4) Committed Occupancy NOI in H1 FY25 Total Leasable Area (1) Market capitalization(2) (ex. Pocharam) (2) Presence in 4 out of top 6 Indian office markets o
Slide 4: Delivered Robust Performance
Delivered Robust Performance Cumulative distribution of INR 76.5 p.u. since listing 21.7% c. 18.3 msf (1) Releasing Spread on Gross Leasing 12.6 msf INR 45.4 Bn 13.3 % Total distribution(3) Annualized returns(7) 2.3 msf 7.9 % p.a.p.m. Delivered New Cost of Debt as on 30 Developments Sep 24(5) 6.7% C
Slide 5: Five Integrated Business Parks
Five Integrated Business Parks Mindspace Madhapur Mindspace Airoli East Hyderabad | 13.2 msf (1) Mumbai Region | 7.2 msf Completed Area: 9.6 msf; Committed Occupancy: 97.6% Completed Area: 4.8 msf; Committed Occupancy: 80.6% 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: 93.4% Completed Area: 0.8 msf; Committed Occupancy: 99.3% 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 28.8% Diversified tenant mix across sectors Top 10 tenants Gross Contracted Rentals contribution (28.8%) (1) (1) % split by Gross Contracted Rentals % of total Gross Contracted Rentals # of parks Manufacturing &E-Commerce L&T 4.1%
Slide 8: Key Highlights: Q2FY25
Key Highlights: Q2FY25 mindspacereit.com 8
Slide 9: Q2 FY25: Strong Operational Performance driving Financial Growth
Q2 FY25: Strong Operational Performance driving Financial Growth 91.7% Rising Committed Occupancy excl. Pocharam (1) 2.1 msf Robust Gross Leasing incl. pre-leasing 1.05 msf Signed 3 new built-to-suit data centers with PDG in Airoli West 5.1% Y-o-Y NOI growth Y-o-Y(2) INR c. 3.1 Y-o- Bn Distribution
Slide 10: Sustained Leasing results in Committed Occupancy levels surpassing 91%
Sustained Leasing results in Committed Occupancy levels surpassing 91%(1) Key Operating Indicators Q2 FY25 H1 FY25 Gross Leasing(2) 2.1 msf 3.2 msf Re-leased Area 0.6 msf 1.2 msf New and Vacant Area Leased 0.5 msf 1.0 msf Re-leasing Spread(3) 27.8 % 25.8 % on 1.0 msf on 2.0 msf Average Rent for Area
Slide 11: Financial Performance Supported by Rising Organic Cash Flows
Financial Performance Supported by Rising Organic Cash Flows Key Financial Indicators Q2 FY25 H1 FY25 Figures in INR Mn Revenue from Operations(1)(2) 6,230 6.0% Y-o-Y 12,428 8.2% Y-o-Y Net Operating Income(1)(2) 5,037 5.1% Y-o-Y 10,001 7.1% Y-o-Y Distribution 3,054 7.5% Y-o-Y 6,043 6.3% Y-o-Y DPU 5.
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 > c.95% committed occupancy levels 100% 100% 100% 99.3% 97.6% 94.9% Gera The Square The Square Mindspace Mindspace Commerzone Commerzone Nagar Road BKC Malad Madhapur Yerwada Kharadi Pune
Slide 13: Strategic Partnership with Princeton Digital Group, Leading DC Operator
Strategic Partnership with Princeton Digital Group, Leading DC Operator Signed 3 Built to suit Data Centers in Airoli (W) Perspective 1.05 msf Total Leasable Area Tenure Lock in period 20+10+10 years 15 years 5 DCs with 1.68 msf INR 6 p.u. footprint(1) Estimated Value Accretion(2) • Delivering PDG’s
Slide 14: Acquisition in Mindspace Madhapur
Acquisition in Mindspace Madhapur Strategic Acquisition for Mindspace REIT(1) to consolidate holding at Mindspace Madhapur Transaction details c. 0.26 msf (2) INR 2,974 Mn Total Leasable Area of units proposed to be Fair Value(3) (INR 11,353 psf) acquired Of the units to be acquired INR 2,750 Mn c.
Slide 15: Our Growth Drivers
Our Growth Drivers mindspacereit.com 15
Slide 16: Organic NOI 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 : 2.1 msf (ex. Pocharam) • Total SEZ area converted to NPA: 2.1 msf • Strong leasing evidenced for converted spaces ~10.4 Organic NOI
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 – Q4
Slide 18: Near term Portfolio Growth Opportunity
Near term Portfolio Growth Opportunity Commerzone Raidurg The Square BKC 98 Hyderabad Mumbai Continuous sponsor pipeline (~15 msf potential) Two assets were 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 be
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 (2/2)
Key Financial Metrics (2/2) Delivered consistent growth on key financial metrics Revenue (INR mn) NOI (INR mn) (1,3) 5,999 6,198 6,230 4,912 5,963 5,948 120 (2) 4,818 4,964 5,037 120 (2) 4,768 (87) (2) 5,440 5,604 4,551 5,360 5,879 4,364 4,545 4,792 4,731 186 (2) 186 (2) 4,974 4,172 5,254 4,365 Q2 F
Slide 26: Low Leverage Offers Balance Sheet Headroom for Future Growth
Low Leverage Offers Balance Sheet Headroom for Future Growth ₹ 68,633 Mn 21.9 % INR 7,463 Mn 7.9% 3.8 x 3.8 x Net Debt to Undrawn Committed Cost of Debt Interest Coverage Net Debt (1) Net Debt to EBITDA(5) Market Value (1) Facilities (p.a.p.m.) Ratio(6) Diversified debt Book with a mix of debentures
Slide 27: Unitholding Pattern as on Sep 2024
Unitholding Pattern as on 30 Sep 2024 Unitholding Summary INR 21,090 Cr 36.5% Market Cap(1) % Free- float 593 Mn units Unitholding Pattern (Market Cap : INR 211 Bn) (1) MF AIF 1.4% 0.4% Insurance 2.1% NIIs 10.4% Sponsors & Sponsor Public DIIs Group (Others) 3.1% Total 63.5% 36.5% Unitholders 63,687
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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