Mindspace Business Parks REIT reports 13% rise in Q4 net income to ₹540 crore; Appoints Ramesh Nair as MD and CEO

Mindspace Business Parks REIT on April 30 reported a 13% year-on-year increase in net operating income, reaching ₹540 crore for the quarter ended March. The company also declared a distribution of ₹392 crore for the same period.

In a regulatory filing, the company announced that Ramesh Nair, currently serving as CEO, has been additionally appointed as Managing Director. His new designation, CEO and Managing Director, is effective immediately and will be held for a five-year term.

The company's net operating income (NOI) rose 8.9% in 2024-25 to ₹2,061.6 crore from ₹1,895.9 crore in the preceding year. The distribution to unitholders stood at ₹1,312 crore for 2024-25, a growth of 15.5% on an annual basis.

The company recorded gross leasing of 2.8 msf in Q4 FY25, taking cumulative leasing for FY25 to 7.6 msf. An entire building under re-development at Mindspace Madhapur, Hyderabad with leasable area of 1.5 msf pre-leased to a large MNC Global Captive Center, the company said.

The company has received an Occupation Certificate for B4 Building at Gera Commerzone Kharadi, Pune, spread across 1 msf, entirely pre-leased to a large MNC Global Captive Center. It is actively working on an under construction pipeline of around 3.7 msf, the company said.

As far as the company’s acquisitions update is concerned, the company said that it had successfully completed its 1st ROFO transaction by acquiring a 100% equity shareholding in Sustain Properties Private Limited, which houses 1.8 msf at Commerzone Raidurg, Hyderabad.

The company also concluded acquisition of around 0.26 msf in Mindspace Madhapur, Hyderabad, consolidating ownership in the Business Park, it said.

Leadership update

In a leadership update, the company said that the Board of Directors of K Raheja Corp Investment Managers Pvt. Ltd., the Manager to Mindspace REIT, has recently appointed Akshaykumar Chudasama as an Additional Director in the capacity of Non-Executive Independent Director. He is the Managing Partner of Shardul Amarchand Mangaldas & Co.

Ramesh Nair, CEO and MD, Mindspace REIT said, “FY25 has been a record-breaking year for us, our best ever since listing. We achieved our highest-ever annual gross leasing of 7.6 msf and delivered a strong quarterly distribution of ₹392 crore, up ~39% YoY, the highest growth since listing. Net Operating Income for the quarter grew ~13% YoY to ₹540 crore, and committed occupancy rose to 93%2. With 3.6 msf already pre-leased, demand for top-quality office space remains robust across our portfolio.”

He said that the company’s NAV has grown by 10% driven by rising rentals across our micro markets, accretion from acquisitions and completion of pre-committed buildings. “We remain optimistic about the long-term outlook for our portfolio underpinned by the quality of our assets, trusted tenant relationships, and proactive leasing efforts. Moreover, our focus on strategic acquisitions, and steady development progress positions us well for a sustained long-term growth.”

Mindspace Business Parks REIT, sponsored by K Raheja Corp group, owns office portfolios in Mumbai, Pune, Hyderabad, and Chennai. The portfolio has a total leasable area of 37.1 million square feet, comprising 30 million square feet of completed area, 3.7 million square feet of area under construction and 3.4 million square feet of future development.