Knowledge Realty Trust Reports 15% Growth in Q1 FY27 Net Operating Income and Revenue, Declares Record ₹751.6 Crore Distribution

Knowledge Realty Trust Reports Strong Q1 FY27 Performance on Office Leasing Momentum

Knowledge Realty Trust, co-sponsored by Sattva Group and Blackstone, on Tuesday reported 15 per cent increase in its Net Operating Income (NOI) to ₹1,243.1 crore for the first quarter of this fiscal and announced a record distribution of ₹751.6 crore to unit holders.

The company's total revenue also grew 15 per cent to ₹1,111.7 crore during April-June quarter of 2026-27 fiscal. Portfolio occupancy increased to 93 per cent, driven by robust front-office demand, which contributed over half of our gross leasing during the June quarter.

Distribution to Unitholders

The REIT declared distributions of ₹751.6 crore, translating into a distribution per unit (DPU) of ₹1.70, with a record date of 31 July 2026. This represents a 5 per cent quarter-on-quarter increase in DPU.

Leasing Activity and Market Conditions

The company leased 1.4 million sq ft office space in the June quarter, of which 0.7 million sq ft is renewal and 0.7 million sq ft is fresh leasing. The growth was driven by higher leasing and rental escalations.

Shirish Godbole, chief executive officer of KRT, stated the company owns class A assets in class A locations, and will continue executing with that focus. Despite headwinds, the India office demand story remains strong with demand continuing from both GCCs and front-office occupiers. Management remains optimistic about Q2 FY27.

Portfolio Scale and Composition

The portfolio comprises 29 Grade-A office assets totalling 46.5 million square feet as of June 30, 2026, with 37.3 million square feet of completed Area and 2.6 million square feet under construction area spread across 6 cities in India. Portfolio assets are spread across 6 cities, namely Hyderabad, Mumbai, Bengaluru, Chennai, Gurugram and GIFT City, Ahmedabad. Approximately 96% of the portfolio assets are located in Bengaluru, Mumbai and Hyderabad.

Balance Sheet and Capital Structure

During Q1 FY27, KRT raised Rs 1,100 crore in debt primarily for refinancing purposes, with net debt as of June 2026 at Rs 12,100 crore. The REIT's loan-to-value (LTV) was around 18 per cent.

About Knowledge Realty Trust

Knowledge Realty Trust, co-sponsored by Sattva Group and Blackstone, is India's largest REIT (real estate investment trust). Salarpuria Sattva is the largest development partner of Blackstone in India. In 2025 it co-sponsored Knowledge Realty Trust, filing a Rs 6,200 crore REIT IPO with SEBI, the largest in India by Net Operating Income, covering 30 prime office assets across major cities.

Knowledge Realty Trust's properties house over 450 tenants, including multinational corporations and global capability centres (GCCs). The tenant base includes leading Indian corporates such as Aditya Birla Group, PhonePe, HDFC Bank Ltd, and Go Digit, alongside global multinationals including Amazon, Cisco, Google Connect, Novartis, and Siemens Ltd.