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Embassy REIT anticipates strong leasing momentum and premium rates amid rising Global Capability Centers
04-Aug-2026, 07:41
Embassy REIT is experiencing robust leasing demand, particularly in Bangalore, fueled by a “flight to quality” that allows the company to command rental premiums of 20-25% across its portfolio. The REIT currently holds 22 million square feet of requests for proposals and anticipates continued strong leasing momentum, alongside premium rental rates, in the coming months. Approximately Rs 7,000 crores of debt will need to be refinanced by 2028, with a near-term need of Rs 4,300-4,400 crores, and the REIT is adopting a flexible approach to refinancing, considering both fixed and floating rates. The transition of the Four Seasons operator is expected by the end of the financial year, and a Hilton Garden Inn recently opened, achieving GOP breakeven ahead of schedule. The REIT expects a cash tax rate of around 6% of revenue for the next 1-2 years, and has seen a surge in new Global Capability Centers entering India.
Embassy REIT is experiencing robust leasing demand, particularly in Bangalore, fueled by a “flight to quality” that allows the company to command rental premiums of 20-25% across its portfolio. The REIT currently holds 22 million square feet of requests for proposals and anticipates continued strong leasing momentum, alongside premium rental rates, in the coming months. Approximately Rs 7,000 crores of debt will need to be refinanced by 2028, with a near-term need of Rs 4,300-4,400 crores, and the REIT is adopting a flexible approach to refinancing, considering both fixed and floating rates. The transition of the Four Seasons operator is expected by the end of the financial year, and a Hilton Garden Inn recently opened, achieving GOP breakeven ahead of schedule. The REIT expects a cash tax rate of around 6% of revenue for the next 1-2 years, and has seen a surge in new Global Capability Centers entering India.