Uncover the potential of active and passive investing on 6th October at 4pm. Register Now!
Last Updated : Sep 14, 2020 01:40 PM IST | Source: Moneycontrol.com

Buy Mindspace Business Parks REIT: target of Rs 358: ICICI Securities

ICICI Securities is bullish on Mindspace Business Parks REIT recommended buy rating on the stock with a target price of Rs 358 in its research report dated September 14, 2020.

Broker Research
  • bselive
  • nselive
Todays L/H

ICICI Securities research report on Mindspace Business Parks REIT

We initiate coverage on Mindspace Business Parks REIT with a BUY rating based on March 2022 DCF based target price of Rs358/unit. The REIT has a stabilised rentyielding office portfolio spread across Hyderabad, Mumbai Metropolitan Region, Pune and Chennai. With 92% committed occupancy and in-place rent of just Rs52/psf/month, we like the company given 16% NOI CAGR over FY20-23E, a resilient leasing cycle for office assets in India’s tier I cities and low leverage of 0.2x net debt/equity which leaves headroom for injection of new assets in the REIT portfolio.


At CMP of Rs302, we estimate NDCF yield of ~7% over FY22-23E of which over 90% is estimated to consist of tax-free dividends. Key risk to our thesis is the large-scale adoption of Work-from-Home by occupiers over the long term.

For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

First Published on Sep 14, 2020 01:40 pm