InvestorQ : Why has Embassy Office Parks REIT raised such a huge debt in the market?
Anamika Sodhani made post

Why has Embassy Office Parks REIT raised such a huge debt in the market?

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Angel dcosta answered.
2 months ago
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Embassy Office Parks REIT, one of the first REITs to get listed in India, has raised Rs.4,600 crores via debt at an interest rate of 6.5%. As a collateral for the loan, Embassy has pledged Embassy Manyata Business Park property. The debt was raised via private placement with mutual funds and insurers.

The debt will be used to repay Rs.4,530 crore of ZCBs issued in 2009. This will reduce debt cost REIT from 9.4% to 6.8%. Manyata has 14.8 million SFT and counts marquee names like IBM, Cognizant, ANSR, and NOKIA as its tenants.
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