Knowledge Realty Trust reports Q2 net operating income of Rs 988 cr, declares Rs 690 cr distribution

The REIT declared distribution of Rs 690 crore for the quarter

Sattva Group and Blackstone-backed real estate investment trust (REIT) Knowledge Realty Trust reported a net operating income of Rs 988 crore for the July-September quarter, with a total revenue of Rs 1,124 crore for the same period. Since listing in August 2025, it also declared its first ever distribution of Rs 690 crore, representing a per unit distribution of Rs 1.56.

For the April-September period, the REIT reported gross leasing of 1.8 million square feet (msf), which included 1.2 msf of fresh leases and 600,000 square feet of renewals, the latter at a spread of 29%. Global capability centres (GCCs) and domestic firms were responsible for around 70% of the leasing activity in the first half of the ongoing financial year.

Occupancy of the entire portfolio grew by more than three percentage points to 92%, with vacancy at its Hyderabad portfolio being 1%. Occupancy at its Mumbai and Bengaluru properties were 88% each. The REIT said in a statement that it achieved annual rent escalations on more than 90% of its leasing in the April-September period.

"With a portfolio representing one of India’s finest Grade-A office ecosystems, we are well

positioned to deliver sustainable growth and long-term value for our unitholders," said Quaiser Parvez, chief operating officer of Knowledge Realty Trust.

The REIT reported that with the Rs 6,200 crore raised through its initial public offering (IPO) in August and in the pre-IPO round, it repaid around Rs 6,000 crore in debt, resulting in a decline of the loan-to-value ratio of the REIT to 18% from 31%.

Knowledge Realty Trust's units closed at Rs 119.95 apiece, more than 1% higher in trading on the National Stock Exchange on November 10.