India’s largest listed office real estate investment trust, Embassy Office Parks REIT, has reported its strongest-ever quarterly financial performance, driven by steady leasing demand and higher occupancy across key markets.
For the third quarter of FY2026, the Bengaluru-based REIT recorded a 17% year-on-year rise in revenue to ₹1,193 crore, while net operating income increased by 19% to ₹985 crore. The company attributed the growth to sustained demand from global capability centres (GCCs) and disciplined financial management.
Leasing activity remained robust. Embassy REIT leased 1.1 million square feet (msf) during the quarter across 22 deals, taking total leasing for the year so far to 4.6 msf. Bengaluru accounted for more than two-thirds of this activity, while Chennai also saw strong traction from multinational tenants. Portfolio occupancy stood at 94% by value, with three of its five cities reporting occupancy levels above 95%.
The REIT announced quarterly distributions of ₹613 crore, or ₹6.47 per unit, representing a 10% increase from a year earlier. It also said it had reduced its cost of debt, raising ₹400 crore through commercial paper at an effective annual rate of 6.44%.
As part of its growth strategy, Embassy REIT confirmed it has received an invitation to offer for the acquisition of Embassy Zenith, a 0.4 msf prime office tower in Bengaluru that is fully leased to a global technology firm. It also launched a new redevelopment project at Embassy Manyata and proposed the addition of a 116-key hotel at its Pune tech park.
Separately, the REIT announced the appointment of Prabhakar Kalavacherla as an independent director to the board of its manager. A former member of the International Accounting Standards Board, Mr Kalavacherla brings more than three decades of experience in audit, risk management and global governance.
Embassy REIT said it delivered nearly 25% total returns in calendar year 2025, as its unitholder base expanded to over 125,000 investors.
