CEO and Managing Director's Message

Dear Unitholders,

The past six months have been a period of substantial progress for Brookfield India Real Estate Trust (Brookfield India REIT). We have not only expanded our portfolio significantly but also solidified our position as an influential player in the Indian office real estate market.

Your trust in us has been instrumental in this journey, and we are committed to delivering sustainable value and maximizing returns.

OUR STRATEGIC ADVANTAGE

The Indian office market continues to show robust demand due to economic growth and an influx of global corporations increasingly setting up their offices in India. While global office markets face challenges, India remains an attractive hub for talent. Recent reports forecast another record-breaking year for India's office leasing market with total leasing across major cities expected to surpass 80M sf in 2024. The first half of 2024 alone recorded an unprecedented 41.9M sf, accounting for 56% of last year's total gross leasing volume.

Our strategically located Grade-A office parks align perfectly with this demand trend—yielding impressive results such as gross leasing of 1.2M sf, with signed rentals exceeding existing rates significantly while occupancy levels improved due to effective asset management strategies coupled with sustained leasing activity. We have been at the forefront of recent SEZ reforms, successfully achieving 0.7M sf of new leasing, with 66% of this take-up occurring in our SEZ assets. While existing tenants expand their operations within our parks even after previously surrendering space, we are also converting more SEZ space into non-processing areas which will broaden tenant engagement further. We anticipate strong leasing momentum across our portfolio, leveraging the dual offering of SEZ and non-SEZ spaces within our campuses. This approach enhances our ability to attract a diverse tenant base and accelerates our path to higher occupancy rates. We consistently prioritize our tenants’ needs, and our commitment to fostering strong relationships ensures that our parks remain their preferred choice.

DRIVING VALUE CREATION

Our financial performance has been driven by strong operational execution and strategic capital management. We achieved a 55% year-on-year growth in Operating Lease Rentals, increasing from ₹ 2,741 million in Q2 FY2024 to ₹ 4,257 million, alongside a 1% quarter-over-quarter rise from ₹ 4,203 million in Q1 FY2025. Our Adjusted Net Operating Income grew by 40% year-on-year, reaching ₹ 4,858 million compared to ₹ 3,467 million in the same quarter last year, and reflecting a 2% increase from ₹ 4,748 million in the previous quarter, indicating improved profitability and operational efficiency. We have taken definitive steps to enhance the dividend component in our distributions and make it appealing to a wider set of investors.

For this period, we are pleased to announce a distribution of ₹ 4.50 per unit, which includes a dividend of 10%. This robust performance is driven by our ongoing initiatives and positions us well for future growth as we continue to enhance shareholder value.

We achieved a 55% year-on-year growth in Operating Lease Rentals, increasing from ₹ 2,741 million in Q2 FY2024 to ₹ 4,257 million, alongside a 1% quarter-over-quarter rise from ₹ 4,203 million in Q1 FY2025.^#

Over recent quarters, we have made concerted efforts towards broadening Brookfield India REIT's appeal among investors nationally through diverse platforms, but we recognize further education is necessary so that REITs can occupy important positions alongside other asset classes within investment portfolios.

EXPANDING OUR FOOTPRINT

In line with our strategy for long-term growth and enhancing unitholder returns, we have continued to identify and seize value-accretive acquisition opportunities. The acquisition of a 50% stake in the North Commercial Portfolio has significantly strengthened our portfolio, adding modern assets in established office micro-markets, and expanding our presence in the Delhi market. This acquisition has brought in front-office tenants like EY, GSTN, ESRI R&D, Mitsui, and Sumitomo, Loccioni, Blusmart Parametric Technology, Infraprime Logistics and expanded our presence in high-quality mixed-use assets like Worldmark Delhi and Worldmark Gurugram.

COMMITMENT TO SUSTAINABILITY AND SOCIAL RESPONSIBILITY

Sustainability remains core within Brookfield India REIT's business strategy—we lead ESG excellence initiatives focused on creating future-ready assets meeting evolving tenant needs while contributing positively towards environmental sustainability goals. We have achieved milestones such as reaching over 40% occupier renewable energy usage across our 15.4M sf Delhi NCR office portfolio and are on track to net-zero emissions by 2040. We are actively reducing our environmental impact through initiatives like solar power, water conservation, waste reduction, air purification, and EV adoption. Our commitment extends beyond environmental impact; we strive to create vibrant and empowered communities through various social initiatives and programs. Collaborations with organizations such as People for Action and the Earth Saviors Foundation exemplify our commitment to fostering community development and enhancing social well-being.

INVESTING IN A BETTER WORKPLACE

Our people are the foundation of our success. We foster a culture built on mutual respect, teamwork, and innovation by attracting and retaining top talent through initiatives which accelerate the development of high-potential early career professionals. We recently launched Workday, a comprehensive HR platform to streamline onboarding, enhance self-service capabilities, and empower employees. Promoting diversity and inclusion is a priority, as evidenced by our PWD Summer Internship Program. Furthermore, we foster ongoing development through mid-year performance reviews, targeted training programs, and celebrations that create a vibrant and engaging workplace culture.