Embassy REIT Q2 2024: 12% YoY NOI Growth and Leasing Record

Embassy REIT Q2 2024: 12% YoY NOI Growth and Leasing Record

Record Leasing Signals Robust Outlook

Embassy Office Parks REIT, India's first listed real estate investment trust and the largest office REIT in Asia, reported a 12% year-on-year increase in net operating income for the July-September quarter, reaching ₹805 crore. This growth reflects strong demand for its properties, bolstering Embassy REIT's market position.

In the same period, revenue from operations also grew 12% annually to ₹997 crore, with a planned distribution of ₹553 crore to unit holders for Q2 FY25.

Significant Leasing Activity and Future Projections

Embassy REIT achieved 2.1 million square feet leased across 24 transactions in Q2, including 1.3 million square feet of new leases. This strong leasing activity led the company to revise its full-year guidance upward to 6.5 million square feet, demonstrating confidence in ongoing market demand.

Solid Occupancy and Financial Strength

Embassy REIT's Gross Asset Value increased by 12% year-on-year to ₹59,104 crore, with a Net Asset Value rise of 4.3% to ₹415.84 per unit. CEO Aravind Maiya highlighted a 90% occupancy rate by value, reinforcing Embassy REIT's appeal to corporates. Additionally, the company secured ₹2,000 crore in debt for refinancing, with an active development pipeline of 8 million square feet expected to yield a cost of 19%.