ICICI Securities: Embassy Office Parks REIT Delivers Resilient Q1 Performance In Tough Times

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.The Embassy Office Parks REIT delivered a resilient Q1 FY21 performance with 99% collection efficiency in office rentals resulting in net distributable cash flows distribution of Rs 4.5 billion, which was up 8% YoY.Leases signed for the quarter stood at 0.53 million square feet and the Embassy Office Parks achieved rental increases of 14% on 1.8 million square feet across 22 office leases in the portfolio.The only dampener was negligible income from the two hotels and a Rs 291 million rebate given for FY21 to food courts and ancillary services (1.4% of annual rent). At a portfolio level, Embassy Office Parks maintained an overall occupancy of 92.2% with same-store occupancy of 94.1%.While Covid-19 related concerns may impact incremental leasing in FY21E, we believe that the Embassy Office Parks low leverage (net debt to equity ratio of 0.2 times), marquee tenant profile and de-densification of offices making up for increased work from home by occupiers stands the Embassy Office Parks’ portfolio in good stead over the medium term..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

ICICI Securities: Embassy Office Parks REIT Delivers Resilient Q1 Performance In Tough Times

ICICI Securities: Embassy Office Parks REIT Delivers Resilient Q1 Performance In Tough Times

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