Latest news with #Reit
Business Times
6 hours ago
- Business
- Business Times
Keppel Pacific Oak US Reit H1 distributable income falls 16.2% to US$19.9 million
[SINGAPORE] Keppel Pacific Oak US Reit (Kore) posted a distributable income of US$19.9 million for its first half of the financial year ended Jun 30, down 16.2 per cent from US$23.8 million in the previous corresponding period. The US office-focused real estate investment trust (Reit) blamed lower cash net property income (NPI) and higher other trust expenses for the drop in distributable income, said the manager in a business update on Tuesday (Jul 29). It posted a positive 0.5 per cent rental reversion for the half. No distribution was declared. The manager had previously said it would suspend distributions for two years from H2 FY2023 to H2 FY2025 as part of recapitalisation plans to address capital needs and leverage concerns. For the first half of FY2025, NPI was at US$40.7 million, down 3.2 per cent from US$42 million before. Gross revenue rose 0.2 per cent to US$74.6 million. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The weighted average term to maturity of its debt was 2.0 years, said the manager. Additionally, its full portfolio weighted average lease expiry by net lettable area was 3.5 years. Kore's performance had been sliding for some time with the challenging environment faced by the US office market. It posted a 19.3 per cent drop in distributable income in the first quarter of 2025 compared to the first quarter in 2024. In 2024, for H2 and the full year, its distributable income tumbled due to lower cash NPI and higher financing costs.
Mint
a day ago
- Business
- Mint
Blackstone-backed Knowledge Realty Trust's ₹4,800-crore IPO to open on 5 August
Next Story Madhurima Nandy The Sattva Group and Blackstone-backed real estate investment trust will announce the price band on 30 July. Some of the marquee assets owned by Knowledge Realty Trust include One BKC and One World Center in Mumbai, Knowledge City and Knowledge Park in Hyderabad and Cessna Business Park and Sattva Softzone in Bengaluru. Gift this article BENGALURU :Knowledge Realty Trust (KRT), a real estate investment trust (Reit) sponsored by Bengaluru-based developer Sattva Group and asset manager Blackstone, is set to launch its initial public offering (IPO) on 5 August, said two persons close to the development. Knowledge Realty Trust (KRT), a real estate investment trust (Reit) sponsored by Bengaluru-based developer Sattva Group and asset manager Blackstone, is set to launch its initial public offering (IPO) on 5 August, said two persons close to the development. The proposed ₹ 4,800-crore IPO secured approval from the Securities and Exchange Board of India (Sebi) on Friday. The offer will be open from 5 to 8 August. This will be Asia's second-largest Reit by size and India's largest by gross asset value (around ₹ 62,000 crore) and net operating income, owning over 46 million square feet of office space across 29 assets in six cities, mainly Mumbai, Bengaluru, and Hyderabad. 'The price band will be announced on 30 July. The Reit will be listed in mid-August," said one of the two persons cited above, on the condition of anonymity. In June, KRT became the first ever Reit to conclude a pre-IPO fundraising exercise. It raised ₹ 1,400 crore from investors, including JM Financial, Radhakishan Damani (promoter of DMart), and 360 One Wam Ltd, in a pre-IPO placement. The round was fully subscribed by domestic high-net-worth individuals (HNIs) and family offices, signalling investor confidence ahead of the public issue. 'A substantial amount of the total ₹ 6,200 crore primary raise will be used for debt repayment. There will be no secondary sale," said the second person. A KRT spokesperson didn't respond to Mint's queries. The KRT IPO KRT filed its IPO draft papers with Sebi in March. Blackstone—sponsor of three of the four listed Reits in India—will own 55% of the Reit, while the Sattva Group will hold the rest. The KRT Reit has a 'brand neutral' strategy. It aims to acquire assets inorganically and give opportunities to other developers to contribute their assets to the Reit while maintaining their brand identity. Shirish Godbole, former managing director of Morgan Stanley Real Estate Funds in India, is the trust's chief executive officer; Quaiser Parvez, former CEO of Blackstone-owned Nucleus Office Parks, is its chief operating officer. Reits have faced their share of challenges in recent years, many of them pandemic-induced. But with the office market turning around, they are gaining more acceptance. Around 90% of the Sattva-Blackstone Reit is leased to marquee tenants, split between multi-national corporations and global capability centres (GCCs). Also Read | KKR-backed Leap India appoints bankers for IPO Some of the marquee assets owned by the Trust include One BKC and One World Center in Mumbai, Knowledge City and Knowledge Park in Hyderabad and Cessna Business Park and Sattva Softzone in Bengaluru. Topics You May Be Interested In Catch all the Business News , Market News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
Mint
a day ago
- Business
- Mint
Knowledge Realty Trust's Rs4,800-crore IPO to open on 5 August
BENGALURU : Knowledge Realty Trust (KRT), a real estate investment trust (Reit) sponsored by Bengaluru-based developer Sattva Group and asset manager Blackstone, is set to launch its initial public offering (IPO) on 5 August, said two persons close to the development. The proposed ₹4,800-crore IPO secured approval from the Securities and Exchange Board of India (Sebi) on Friday. The offer will be open from 5 to 8 August. This will be Asia's second-largest Reit by size and India's largest by gross asset value (around ₹62,000 crore) and net operating income, owning over 46 million square feet of office space across 29 assets in six cities, mainly Mumbai, Bengaluru, and Hyderabad. 'The price band will be announced on 30 July. The Reit will be listed in mid-August," said one of the two persons cited above, on the condition of anonymity. In June, KRT became the first ever Reit to conclude a pre-IPO fundraising exercise. It raised ₹1,400 crore from investors, including JM Financial, Radhakishan Damani (promoter of DMart), and 360 One Wam Ltd, in a pre-IPO placement. The round was fully subscribed by domestic high-net-worth individuals (HNIs) and family offices, signalling investor confidence ahead of the public issue. 'A substantial amount of the total ₹6,200 crore primary raise will be used for debt repayment. There will be no secondary sale," said the second person. A KRT spokesperson didn't respond to Mint's queries. The KRT IPO KRT filed its IPO draft papers with Sebi in March. Blackstone—sponsor of three of the four listed Reits in India—will own 55% of the Reit, while the Sattva Group will hold the rest. The KRT Reit has a 'brand neutral' strategy. It aims to acquire assets inorganically and give opportunities to other developers to contribute their assets to the Reit while maintaining their brand identity. Shirish Godbole, former managing director of Morgan Stanley Real Estate Funds in India, is the trust's chief executive officer; Quaiser Parvez, former CEO of Blackstone-owned Nucleus Office Parks, is its chief operating officer. Reits have faced their share of challenges in recent years, many of them pandemic-induced. But with the office market turning around, they are gaining more acceptance. Around 90% of the Sattva-Blackstone Reit is leased to marquee tenants, split between multi-national corporations and global capability centres (GCCs). Some of the marquee assets owned by the Trust include One BKC and One World Center in Mumbai, Knowledge City and Knowledge Park in Hyderabad and Cessna Business Park and Sattva Softzone in Bengaluru.
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Business Standard
5 days ago
- Business
- Business Standard
Mindspace Reit acquires Hyderabad's Q-City office asset for ₹512 crore
K Raheja-backed Mindspace Business Parks real estate investment trust (Reit) has acquired a 100 per cent equity shareholding in Mack Soft Tech (MSTPL) in Hyderabad for ₹512 crore. MSTPL is a holding firm of Q-City, a 0.81 million sq ft (msf) commercial asset in the fast-developing southern city. Mindspace Reit is buying the property at an 11.6 per cent discount to its independently assessed value. The cap rate for the deal is around 9.9 per cent. 'Securing the property at an 11.6 per cent discount to an independent valuation and an attractive 9.9 per cent cap rate demonstrates our disciplined capital deployment and commitment to long-term value for unitholders,' said Ramesh Nair, chief executive officer and managing director of the Reit. Once the property is stabilised, it is projected to generate about ₹53.5 crore of net operating income (NOI), which would increase the Reit's income by approximately 2.6 per cent, considering its FY25 NOI of ₹2,062 crore. The acquisition implied a capital value of ₹6,130 per sq ft and has been funded via debt. In May, the Reit's investment manager approved a fundraise of ₹1,800 crore. On 23 July, the Reit issued and allotted commercial papers aggregating to ₹540 crore on a private placement basis. The Reit's net debt as of FY25 stood at ₹8,897.6 crore. This is the Reit's first third-party asset addition outside its portfolio parks. The transaction has been undertaken through Horizonview Properties, a special purpose vehicle asset of Mindspace Reit. The acquired asset shall be rebranded as 'The Square, 110 Financial District'. The acquired asset has a leasable area of 0.81 msf, located in the Financial District of Hyderabad. Currently, around 65 per cent of the asset is occupied. 'The asset stands to gain from Mindspace Reit's robust tenant network and asset enhancement expertise, driving quicker lease-up of the balance space,' the Reit claimed. Occupancy levels across Mindspace's assets stood at around 93 per cent as of Q4 FY25. With this, Mindspace Reit's Hyderabad presence is now over 16 msf in aggregate. Nair said, 'Hyderabad market is India's hottest GCC hub, now home to more than 350 global capability centres and the nation's fastest-growing tech and BFSI talent base. With institutional-quality supply extremely tight and virtually no major investment-grade assets on the market, the timing is ideal. As Madhapur and HITEC City approach capacity, global occupiers are migrating westward in the city, and our acquisition positions us to capture this demand.' In Hyderabad, Madhapur rentals have risen to ₹90–100 per sq ft due to limited supply and higher demand. Rental arbitrage with Madhapur positions Financial District to benefit from demand spillover, Mindspace claimed. Post-acquisition, the Reit's portfolio size will grow from 37.1 msf to 37.9 msf, while its gross asset value (GAV) will increase from ₹36,647 crore as of FY25 to ₹37,143 crore. The loan-to-value (LTV) ratio will marginally increase from 24.3 per cent as of FY25 to 25.1 per cent. The transaction will also increase the net asset value by ₹1.8 per unit.
Business Times
6 days ago
- Business
- Business Times
Digital Core Reit H1 DPU unchanged at US$0.018
[SINGAPORE] The manager of Digital Core Real Estate Investment Trust (Reit) on Wednesday (Jul 23) posted a distribution per unit (DPU) of US$0.018 for the first half ended June 30, 2025. This was unchanged from the same period a year ago, even as the Reit's distributable income rose 3.5 per cent to US$23.4 million, from US$22.6 million in H1 FY2024. The distribution will be paid on Sep 18, after the record date on Jul 31. Digital Core Reit's H1 FY2025 revenue increased 84.2 per cent to US$88.9 million, from US$48.3 million in the year-ago period. Net property income rose 52.2 per cent year on year to US$46.3 million. However, property expenses also rose to US$42.6 million, from US$17.8 million for H1 FY2024. The Reit's manager said these increases in revenue, net property income and property expenses were mainly due to the acquisition of an additional 15.1 per cent interest in a Frankfurt data centre last December. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The acquisition brought the Reit's interest in the facility up to 65 per cent, from 49.9 per cent before. The total purchase outlay amounted to about US$76.6 million. This comprised a purchase consideration of 71 million euros (S$100.6 million), an acquisition fee of around US$751,000 paid to the Reit's manager in the form of around 1.2 million newly issued Digital Core Reit units, and other fees. As at Dec 31, 2024, Digital Core Reit had about US$1.7 billion in assets under management. It has 11 data centres and a weighted average lease expiry of 4.5 years, with a 98 per cent occupancy rate as at Jun 30, 2025. John J Steward, chief executive officer of the Reit's manager, noted that data centre fundamentals 'continue to tighten across core global markets'. 'We remain focused on capitalising on the favourable industry backdrop to continue to create durable value for unitholders,' he added. Units of Digital Core Reit ended Wednesday 0.9 per cent or US$0.005 lower at US$0.555, before the results were posted.
