Brookfield India Real Estate Trust (Brookfield India REIT) has disclosed a net consolidated profit after tax of INR 37.35 crore for the quarter ending June 30, 2024. This marks a significant turnaround from the net loss of INR 27 crore recorded in the same quarter of the previous fiscal year, according to the company’s recent BSE filing.
The REIT’s net consolidated total income surged by 84.01% year-on-year, reaching INR 590.19 crore in Q1 FY25, compared to INR 320.73 crore in Q1 FY24. This growth was driven by substantial increases in adjusted net operating income (NOI) and operating lease rentals. The adjusted NOI for the quarter grew by an impressive 94% year-on-year, climbing from INR 2,453 million in Q1 FY24. Similarly, operating lease rentals saw a remarkable 99% increase, rising from INR 2,113 million in the corresponding period last year.
In a notable development, the board of directors of Brookprop Management Services, the manager of Brookfield India REIT, has declared a distribution of INR 2,160 million, equating to INR 4.50 per unit. This distribution is comprised of several components INR 859.23 million (INR 1.79 per unit) as interest payment on shareholder loans, CCDs, and NCDs; INR 1,022.43 million (INR 2.13 per unit) as repayment of SPV debt and NCDs; INR 244.81 million (INR 0.51 per unit) as dividend; and INR 33.60 million (INR 0.07 per unit) as interest on fixed deposits.
A company spokesperson highlighted that the same-store operating income grew organically by 17% over the past three quarters. This growth was supported by improved leasing performance and an increase in committed occupancy from 80% to 84%. Looking ahead, the company aims to achieve 87% to 89% committed occupancy by the end of FY2025. The spokesperson also mentioned the recent acquisition of a 50% stake in high-quality commercial assets in Delhi-NCR from Bharti Enterprises, valued at approximately INR 12,280 million.
During Q1 FY25, Brookfield India REIT achieved gross leasing of 242,000 square feet at INR 135 per square foot, compared to an in-place rent of INR 94 per square foot, with re-leasing spreads at 13%. The REIT has set a new leasing guidance target of 1.5 to 2 million square feet for FY25, aiming for an occupancy rate of 87% to 89% by year-end. The portfolio of Brookfield India REIT comprises a total leasable area of 28.8 million square feet, which includes 24.2 million square feet of operational space, 0.6 million square feet under construction, and 4 million square feet of future development potential.
