GROWTH OPPORTUNITIES FROM SPONSOR

Acquisition and Development Update of ROFO Assets

Mindspace REIT enjoys the benefit of the right of first offer (ROFO) agreement that grants us a right of first offer to acquire certain projects being developed or proposed to be developed by the KRC Group.

Our current ROFO pipeline stands at 8.6 msf across Mumbai Region, Hyderabad, and Chennai markets. Of this, 2.8 msf is completed as on March 31, 2023.

In FY22, Mindspace REIT had received ROFO notice from Sustain Properties Private Limited (‘Sustain’) that houses Commerzone Raidurg, a 1.8 msf building in Hyderabad, for sale of it's outstanding equity shares held by its shareholder. Also, earlier this financial year, we received an offer notice from the Sponsor Group to sell the shares of Sundew Real Estate Private Limited (‘Sundew’), which houses c.0.16 msf building in the BKC Annex. In March 2023, the shareholders of Sustain and Sundew informed Mindspace REIT of deferring the sale of all outstanding equity shares to Mindspace REIT, in light of the volatility and uncertainty in the markets. The shareholders of both the entities have undertaken to re-offer the acquisition of outstanding equity shares to Mindspace REIT after the markets stabilize. The Governing Board agreed to this deferral and the Manager shall pause further evaluation of the acquisition till such time the shareholders of Sustain and Sundew re-offered the acquisition.