There are three listed Reits in India—Embassy Office Parks, Mindspace Business Parks and Brookfield India Reit—that invest in grade-1 properties. “In line with industry trends, there has been a rise in portfolio vacancy levels by 4-6% on a like-to-like basis for Embassy Reit, Mindspace Reit and DLF in FY21, while Brookfield Reit retained flattish occupancy levels in H2FY21. While the Embassy Reit unit price is up 3.25% since 1 January, Mindspace Reit is down 11.86%, and Brookfield India Reit, which listed on 17 February, is down 3.3% from its issue price of ₹275. ICICI Securities noted that for the Mindspace Reit, overall portfolio occupancy fell by 350 bps quarter-on-quarter to 81.8% in Q4FY21 from 85.3%, with exits in Hyderabad and Airoli West assets. To be sure, while the second wave soured recovery for office properties, Reit managers believe things will turn around from October-December.

Source: Mint July 18, 2021 19:52 UTC