Brookfield REIT's net drops 12% to Rs 60 cr in Q3, revenue down 8%

Announces a planned distribution of Rs 150 crore (Rs 5.00 per unit) this quarter, with 34 per cent of distributions tax free for unit holders

Brookfield REIT saw its net profit drop 12 per cent to Rs 60 crore in the December quarter (Q3), compared to the preceding quarter. The realty major’s revenue slid 8 per cent to Rs 195 crore in the third quarter. It did not disclose year-ago numbers in its financials.

The REIT has announced a planned distribution of Rs 150 crore (Rs 5.00 per unit) this quarter, with 34 per cent of distributions tax free for unit holders. With this, its total cumulative distribution comes to Rs 17.00 per unit since listing last year on the bourses. 

The realty trust said it collected 99 per cent of contracted rentals while achieving an average 7 per cent escalation on 0.5 million square feet of leased area. It achieved a gross leasing of 536,000 square feet across assets during the quarter with additional expansion options of 291,000 square feet, totalling 825,000 square feet.

It completed the acquisition of Candor Techspace N2 on January 24 for Rs 4,000 crore. The purchase was partially financed via India’s first preferential issue to institutional investors  by a listed REIT of Rs 950 crore. 

Brookfield REIT has achieved a reduction in borrowing costs of around 40 basis points in Q3. It said that it continues to maintain a strong balance sheet with a 33 per cent loan-to-value ratio even after the N2 acquisition.

Its income from operating lease rentals was at Rs 140 crore in Q3, a decrease of 4.3 per cent on a year-on-year basis. Net operating income was recorded at Rs 150 crore, a 7.7 per cent  decrease compared to the year-ago period.