KRT is a real estate investment trust (REIT), sponsored by realtor Sattva Group and investment firm Blackstone.
In an interview with PTI, KRT Chief Executive Officer (CEO) Shirish Godbole said the company is looking at acquisition of prime office assets to organically grow the business.
He highlighted that the company performed well during the last financial year and it expects to continue the growth momentum on all important metrics such as net operating income (NOI) and distribution to unitholders during 2026-27.
Godbole noted that demand for office space remains strong, mainly driven by foreign companies looking to set up Global Capability Centers (GCCs).
He emphasized that the company’s AI (artificial intelligence) portfolio is resilient, with most of its workspace occupied by GCC and front office.
KRT has a total portfolio of 29 premium office assets covering a total area of 46.5 million square feet, of which 37.2 million square feet are completed, 2.6 million square feet under construction and 6.6 million square feet of future development area spread across 6 cities.
Asked about the projects under construction, Godbole said 1.2 million square feet of office space is almost complete, while construction work on 1.4 million square feet area has just started.
On this next 1.4 million square feet of office space in KRT Bengaluru, over the next three years around Rs. 700 crore will be invested.
Apart from that, Godbole said, “We are looking for acquisitions for inorganic growth. We are in the market.”
It also mentioned that around 25 percent of its current portfolio is leased below market rents, creating huge scope for growth in gross rental income.
Currently on KRT around Rs. 12,000 crores in debt.
Recently, KRT paid unitholders Rs. 716.6 crore was announced to be distributed.
Cumulative distribution after listing in August 2025 Rs. 2,101.9 crore or Rs. 4.74 per unit was touched.
In the fourth quarter of 2025-26, the company achieved gross leasing of 1.1 million square feet, taking cumulative leasing to 3.5 million square feet and portfolio occupancy of 92 percent for FY26.
NOI (Net Operating Income) grew by 14 per cent during the January-March period last fiscal to Rs. 1,053.3 crore which in the year-ago period was Rs. 924.8 crores.
During FY 2025-26, the company’s NOI is expected to grow by 18 percent YoY to Rs. 4,048.4 crores.
“We enter FY27 with strong operating momentum, a resilient balance sheet and multiple visible growth levers,” Godbole said.
He said the company expects leasing numbers to remain flat in 2026-27, at around 3.5 million square feet, including both fresh leasing and renewals.
Ruling out any adverse impact on its office space demand, Godbole said, “We have an AI-resilient portfolio backed by three attributes — 45 percent of gross rents from GCC occupiers; negligible exposure to the traditional IT services sector; and 31 percent of portfolio value in front office assets.”
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