Good day, and welcome to Q2 FY 2025 financial results of Mindspace Business Parks REIT conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Nitin Garewal. Thank you, and over to you, sir. Good evening, and thank you for joining quarter two FY 2025 earnings call for Mindspace Business Parks REIT. At this point, we would like to highlight that the management may make certain statements that may be forward-looking in nature. Please be advised that our actual results may differ materially from these statements. Mindspace REIT does not guarantee these statements or results and is not obliged to update them at any point of time. Kindly note that we have uploaded our operational and financial performance metrics in a spreadsheet format on our website in Investor Relations section. This has all the data since our listing that we have been disclosing in our investor presentation for your ease of reference. We'll be happy to hear your feedback on this so that we can make it more helpful for you. I would now like to welcome our CEO, Ramesh Nair, and CFO, Preeti Chheda. They will walk you through the business update and the financial performance during the quarter two. We will then open the floor for Q&A. I'll now hand over the call to Ramesh. Thank you, Nitin. Good evening, everyone, and thanks for joining today. I'm happy to share with all of you that we have had another good quarter at Mindspace REIT. We are accelerating our growth. We are achieving strong results and creating value for all our stakeholders. I completed my first year as CEO of Mindspace REIT in September. I wanted to thank our investors and analysts for all the support which I got over the past one year. My gratitude to our independent and non-independent directors, especially Ravi, Neel, and Vinod, for their guidance and support, which is helping us grow over the past one year. I'm lucky to have three of the best brains in commercial real estate guiding me. I'll now share some key highlights of the last twelve months. Our NOI grew from INR 4.79 billion to INR 5.03 billion. It's the first time we crossed five billion in terms of NOI. Our distribution grew from INR 2.84 billion to INR 3.05 billion, crossing three billion again for the first time. Our LTV is at a very healthy level, at 21.9%. Our borrowing cost, again, is at a very healthy 7.93%. We achieved in the last one year gross leasing of 5.6 million sq ft and net leasing of 1 million sq ft. Our occupancy increased from 87.6% to 91.7% over the last twelve months. We improved, again, occupancy in Airoli to 82%, tackling what had previously been a big challenge for us. Our in-place rentals grew from 67 to 70.4 per sq ft over the last 12 months. Our data center portfolio grew from 0.6 million sq ft to 1.7 million sq ft. Our overall portfolio grew from 32.3 million sq ft to 34.7 million sq ft. We have already upgraded 13 buildings with another 9 currently underway. Our GAV increased from INR 287 billion to INR 313 billion. NAV increased from 369.9 per unit to 392.6 per unit. We signed 68 new F&B outlets in our parks. We gave returns of over 25% to investors, including our distributions over the last 12 months. We have also successfully demarcated 2.1 million sq ft of SEZ area in Airoli under the new regulations. We've introduced lots of new amenities across our parks. We conducted over four client surveys, one client tenant survey, to demonstrate our commitment to seeking feedback, which we will use for continuous improvement. We also organized close to 50 events in the last one year for our tenants to drive engagement and thereby increasing work from office. Happy to mention that across our portfolio, attendance has crossed 74% in the last quarter. Now, let's come to the quarterly performance. The Indian office market continues to remain strong. Q3 calendar year 2024 continues the positive momentum witnessed earlier this year. We are very well positioned for sustaining this profitable growth. On the market front, I would like to highlight a few IPC insights, which I've seen in the last few weeks. The JLL report stated that there is record-breaking leasing of 53 million sq ft in the first three quarters of calendar year 2024. Gross leasing that's nearly 20 million sq ft, which is up 8.2%, marking the second highest quarter ever. Increased demand across various industry segments from both global and domestic firms continue. Global occupiers accounted for around 57% of the Q3 leasing activity. Net absorption, again, across the top seven cities reached 12.16 million sq ft, the highest this year, marking a 15% quarter-on-quarter increase. The vacancy rate fell to a two-year low, now standing at 16.8%. Separately, a CBRE report spoke about how there has been very good, robust leasing activity in H1, which extended into Q3, with a space take up of nearly 19 million sq ft. Leasing activity hit a nine-month record of close to 54 million sq ft, 17% year-on-year jump in office leasing in Q3 2024, with the quarter witnessing rental growth across many micro markets. This is driven by sustained leasing activity, demand for high-quality assets, and reduced vacancy levels. The strong office momentum from H1 extended into Q3, with 19 million sq ft of space getting absorbed. Leasing activity again hit a nine-month record high of 54 million sq ft. Office leasing saw 17% year-on-year growth in Q3 2024. The rental rates also increased in many micro markets, driven by consistent leasing demand, a preference for premium assets, and falling vacancy rates. The Knight Frank report stated that the office market is again poised for a record year. GCCs were the highest consumers of office space in Q3 2024, at 37% of the volumes. Growing presence of GCCs and demand for domestic companies continue as key leasing drivers. To conclude, the office market, outlook remains positive with continued demand diversification. I've repeatedly highlight our growth drivers, and will briefly highlight them for all of you again. We expect NOI to grow by over 900 crores over the next three to four years because of leasing of our 2.1 million sq ft vacant area, particularly in Airoli. Completion of 4.4 million sq ft of under construction projects, planned development of 3.9 million sq ft, mark-to-market rentals and contractual escalations will also help us cross this 900 crore mark. Future acquisitions, whether from sponsors or third parties, will further drive growth and expansion. Now, coming to key announcements regarding new developments of Quarter Two of FY 2025. We have made good progress in expanding our portfolio, which now stands at 34.7 million sq ft. This is thanks to the strategic signing of three build-to-suit data centers with Princeton Digital Group, totaling 1.05 million sq ft at Airoli West. This strengthens our Navi Mumbai position as the number one destination for data centers in India. We received board approval to acquire another 260,000 sq ft area in Mindspace Madhapur from a third-party owner. This enhances our ownership and consolidation within one of India's largest and best office business parks. On our operating performance, we've achieved very strong leasing this quarter, with several new leases signed. We leased 2.1 million sq ft during the quarter. We are pleased to report an increase in occupancy rates by 60 basis points to 91.7%. Our market position remains strong, with six out of the nine parks maintaining occupancy rates more than 95%. We realized a re-leasing spread of 27.8%, which increased our in-place rent to 70 per sq ft per month. We received approval for all our applications for demarcation of excess space. Total demarcated space now stands at 2.1 million sq ft across Airoli East and West. We have already leased more than 900,000 sq ft of this area. Changes in SEZ policy have eased leasing concerns for us in the Navi Mumbai market. Coming to the financial performance of the quarter, revenue and NOI grew by 6% and 5.1% year-on-year, respectively. For the first time, our NOI crossed INR 5 billion. Our distribution crossed INR 3 billion, again, for the first time. It saw an increase of 7.5% on a year-on-year basis, and came in at INR 3.05 billion. Our strong balance sheet, low debt level, provides us with financial flexibility to pursue growth opportunities. On the development front, projects are progressing well. The new office space is scheduled for timely delivery. R2 in Kharadi, Pune, and B8 Data Center in GigaPlex, Airoli, will be ready in Q4 of this financial year. On the amenities side, we have been improving tenant experience with world-class amenities in our parks by adding more terrace amenities, by adding more fitness and medical centers, better access controls, better baggage and metal scanners, gaming arenas, separate jogging bike lanes. All these are designed to offer a seamless experience for our tenants and their employees. We recently conducted a survey of 100-plus clients and received high ratings on key parameters, such as responsiveness of Mindspace representatives, handling of queries, and the quality of the landscape to open areas. We have noted the feedback, and we are also working on improving areas where we scored low. This client-centric approach ensures we elevate tenant satisfaction across all touchpoints. We are also focused on many tenant-centric innovations. We are committed to delivering a hospitality-like experience across our lobbies. We're enhancing our parks by adding more retail offerings. We have expanded our F&B offerings, improving overall tenant experience. We have also prioritized women's safety and have implemented measures across our parks to ensure a secure environment for everyone. On the ESG and sustainability achievements, we continue to lead the market with our ESG goals. While we received the title of Global Listed Sector Leader for office, for office development benchmark, we also received GRESB five-star rating for the third consecutive year. Mindspace REIT outperformed GRESB and peer average scores for both office development and standing investment benchmark. We scored ninety-nine out of hundred and ninety-one out of hundred, respectively. Overall, we stand committed to innovation and sustainability. In conclusion, we are optimistic about the positive trends in the industry. We are confident of our ability to maintain this momentum. Our commitment to innovation, tenant satisfaction, and sustainability keeps us well positioned for the future. Thank you all for your time. I will now hand it over to Preeti for further financial updates of the quarter. Thank you, Ramesh. Good evening, everyone. We've had yet another quarter of strong financial performance. Q2 FY 2025 saw a healthy growth in both revenue from operations and net operating income. Our revenue from operations for Q2 FY 2025 stood at INR 6.2 billion, a year-on-year growth of 6%. Similarly, our NOI for the quarter was INR 5 billion, a YOY growth of 5.1%. Our NOI margin from core renting continued to remain steady at 85%. We also continued to grow our distribution year on year. For the second quarter of FY 2025, we announced a distribution of INR 3.05 billion, which is about INR 5.15 per unit, a year-on-year growth of 7.5%. As Ramesh mentioned, this is our second consecutive quarter of distribution growth, led by strong operating performance. Gross value of our portfolio increased 4.8% to INR 313 billion. Key contributors to the value accretion were the three additional data centers we signed with PDG at Mindspace Airoli West. Further, the addition of newer areas and ongoing development has also helped grow the value of our portfolio. We are constantly working to enhance the value of our portfolio through efficiency enhancements, redevelopment, utilization of unutilized asset-like potential, et cetera. NAV per unit at September thirtieth, 2024, stood at INR 392.6, up 3.2% from INR 380.6 at March 2024. Our loan-to-value continues to remain low at 21.9%. This healthy balance sheet gives us enough headroom for acquisition and also development within the portfolio. Again, as Ramesh mentioned, we received the approval from our board for the purchase of 260,000 sq ft from a third-party owner at Mindspace Madhapur. The acquisition cost of INR 2.75 billion, together with transaction cost thereon, shall be funded out of debt. Our cost of debt remained at 7.9%. We have worked to optimize the mix of our borrowing at SPV and REIT level to achieve the best possible cost of funding. During the quarter, we received approval from agency authorities for de-notification of our Pocharam asset. We have appointed advisors for divestment of the asset. We hope to hear from our advisors on the progress with the divestment over the next two to three months as they reach out to potential buyers of the asset. We have progressed well with the demarcation of certain SEZ spaces at our Airoli Navi Mumbai Park as non-processing areas. So far, we have received approval for demarcation of 2.1 million sq ft of SEZ spaces. Filling up of these existing vacancies, together with completion of development pipeline over the next 2-3 years, shall drive the NOI growth. Ramesh has already alluded to this. With this, I hand over the call to the operator to open the floor for questions. Thank you, everyone. Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touch-tone phone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Again, if you wish to register for questions, please press star and one. Our first question is from Puneet, from HSBC. Please go ahead. Yeah, thank you so much, and congratulations on great numbers. Ramesh, if you can also talk a bit about the supply side, part of the equation on the industry side, it'll be very helpful. What kind of new supply are you seeing, and how much of it is really competing in some sense? Puneet, I remember when I met you a few years back, I had told you that residential had had around ten thousand developers in India, and office had around forty-five developers in India. That forty-five developer number today, Puneet, I think would be maybe around fifteen. So today, concrete is being poured only by the best developers in the country, and that number is only around fifteen, and you know, most of these fifteen names. Not very worried about supply as such, because if you look at our forty markets where we have a presence, we have a presence in all the prime locations. Madhapur, when we acquired the asset twenty years back, was a peripheral district. Today, Madhapur, the IBC brokers call it the CBD of Hyderabad. Airoli again, today, which is the people, a lot of people call it peripheral, but that's sixteen minutes drive from Godrej, which is Godrej Vikhroli, which is again a hundred and eighty-five rupee market. So not worried about supply. The industry is hugely consolidated, and we are pouring concrete in all the four markets, increasing our supply. Again, let's look at it from an office point of view. Airoli, Navi Mumbai, has a lot of land, but what's also happened in a market like Airoli is today, because of the data center boom happening, land prices have shot from four, five years back, which is maybe six crore an acre. Today, people are putting thirty-five, forty crores an acre. So nobody can buy land at INR 40 crores an acre and build an office park as such, and then still compete with us on rentals. So we have advantages across. In Chennai, really doesn't matter. Out of the 1.2 million sq ft we have, we have the balance 70,000 sq ft, which will get leased in the next few days or few couple of weeks. So again, that's not a problem. So given our prime locations, not worried about future supply as such. And I was in Hyderabad two days back, looking at supply around Madhapur. We have very marginal. We are like 97% occupied there, and all the competing projects around us were also between 97% to 100% full, so not a worry. Okay. Are you worried at all that the newer looking buildings will give competition to your portfolio? Is that something on your mind at all, and what are you doing to address that? That's a great question, Puneet, and that's exactly the reason why we have been energizing our parks over the last few years, spending a lot of money on upgrade. And whether we look at Hyderabad, we are learning also. In Hyderabad, a couple of our competitors did good parks. We learned from them, and we're creating a world-class experience center. We were spending, like, INR 150 crores to create the best club facility in the country there. We are spending money today on landscaping. We are spending money today on amenities. You saw all the F&Ds which we have opened, all are focused on ESG. We have completed close to 10 building upgrades. Nine is ongoing. What we are planning to upgrade in the future is 10. Actually, my team corrects me. We've upgraded 13 buildings already, and 9 is underway currently. Upgrades is something we need to do. There are times when we're spending, like, INR 1,000 per sq ft just in upgrades. Some of our buildings, you should see, like, our building four in Madhapur. Today, the lobby would look better than a newer building. So those investments are happening very, very proactively. Like I said, 13 completed, 9 ongoing, and 10 planned for the future, so that's a significant part of our portfolio. Wonderful. That's great. And also, if you can talk about your data center business model, how much we need to invest, and is it just limited to building, or do you also have to provide utilities and, and maybe any other that you may invest that you may need to do? Some thoughts there. Data centers are definitely something of this country, and Navi Mumbai is going to see a lot of boom. The sad part is we have run out of land for future data center development. Today, if you look at our reach, I don't think there's any developer who has five data centers in their portfolio. We are number one, I think. North, there's one or two data centers that someone has. Bangalore, there is one. Otherwise, most of these data centers are either being invested by the colo players themselves or the hyperscalers. So data center was one of the strategic priorities we've been focusing on for some time now, and that strategy is now paid off, with us having 1.7 million sq ft and five data centers. So wish we had more land, but with five currently, we have to stop our data centers development. And on this, how much would you need to invest, if you can also talk in terms of megawatts of power that these five data centers would? See, previously we could have these thumb rules on megawatts, but Puneet, what we are seeing is with improvement in chips and NVIDIA and all that stuff happening, square footage is not translating directly into megawatts. Because, what we are building today is going to be occupied, let's say, one and a half years down the line, and at that time, megawatts could become double, the way the technology speed is improving, so I would have told you an answer for this six months back, but today, at the pace at which technology is improving, things are significantly changing every month, in terms of data center, data center storage capacity. Would you be investing in all the utilities or just cool? So what we are doing is, we are giving them a cold shell, which is basically the structure. A typical office building today costs us close to INR 5,000. The data center building, which we are giving to our clients, that costs us around INR 7,000. So we give the shell, we are not investing in MEP and racks, and we have no intention to get into the data center business as such, other than being developers and giving space to people who give us long-term commitments. And there is lot more stability in rentals. Not to forget that some of these leases we are also signing at 4% increased rentals rent escalation, which also helps us. Okay. So, no revenue share? Thank you. Yes, please. Thank you so much. Thank you. The next question comes from Parvez Qazi from Nuvama Group. Please go ahead. Hi, good evening. Thanks for taking my question, and congratulations for a good set of numbers. So a couple of questions from my side. First, when we look at your leasing in Q2, most of the tenants are engineering, manufacturing, professional services, co-working, etcetera, but we don't see too many tenants from the tech space. So wanted to get your views on what is happening there. Do we expect a pickup sometime soon, or will that continue to lag? That's the first question. Second, both committed and actual occupancies have gone up. So, what levels do we expect to end FY 2025 with? And lastly, the occupancy in the SEZ versus non-SEZ. Thank you. So in terms of sector-wise breakup of leasing, I agree with you totally that tech leasing has dropped. I think that's also reflective of the overall IT services industry. So in terms of leasing, this time it was engineering and manufacturing 42%, co-working around 17%, and manufacturing and processes around 12%. So in terms of again occupancy, second question of yours, which is what is our estimate? We are hoping to reach something like a 93.5% by end of this financial year. That's the target, and looking like we would reach there. In terms of vacancy of SEZ and NPA versus non-SEZ, we have, like I mentioned, we have a total vacancy right now of 2.1 million sq ft. SEZ vacant area is 0.6 million sq ft. Non-SEZ vacant area is 1.5 million sq ft. One year back, we were talking about exactly opposite numbers, and this is mainly because how proactive we've been in terms of getting our unleaseable SEZ spaces demarcated real fast. Our non-SEZ occupancy today is 88.8%, and SEZ occupancy is 90.8%. Total SEZ area today, which is at 2.1 million sq ft, like I mentioned, is which is converted to NPA, and we have leased 45% of it. So only 0.5 million sq ft of non-converted remains vacant. I was kind of deep diving into our Airoli Park, and the NPA converted but vacant today stands at 11 lakh sq ft. Partial SEZ vacancy, so sometimes our floor plates are 50,000-70,000 sq ft. Some of these, if one tenant leaves partially, the others we cannot demarcate that. So that stands at around 210,000 sq ft. NPAs to be applied, where we know a tenant is going to vacate, but to start the paperwork, we'll have to wait till the tenant moves out. That stands at 170,000 sq ft. NPA initiated is around 83,000 sq ft. SEZ committed by tenants today, that's 46,000 sq ft, and NPA to be applied is 45,000 sq ft. You total all this up, that comes to the 17 lakh sq ft, which is vacant. We are really digging deep. Tenants, even half load, quarter loads, where the tenants we can't demarcate, we have a full-fledged strategy in terms of how we can get that lease. A lot of thinking going behind the scenes there for this. Sure. Thanks for the detailed answer and all the best for future. Thank you. Thank you. The next question comes from. Please go ahead. Yeah, hi. Thanks for the opportunity. Firstly, on, you know, specifically on Airoli, your leasing outlook there, you know, how do you see occupancy rising, you know, given the breakup of numbers that you have provided? You know, what's the outlook there over probably this year or next couple of years? I'm sure you would have reiterated earlier as well in previous calls, but just update on that. So great, great question, Pritesh. So if you look at, I really am a lot more bullish than what I was, one year back, mainly because, we have managed to get all that vacancy, 50% vacancy demarcated. Look at, our recent deals. We've signed, a GCC for 257,000 sq ft with one of the very large chemical companies, globally. There's another big manufacturing company that has taken 70,000 sq ft in the last, quarter, again, GCC. Yesterday, I heard that, another banking GCC has, taken, 400 seats with a co-working player within our campus. Navi Mumbai is definitely, we've seen some of those images of what's, happening in the, San Francisco, Silicon Valley of, India. And I think Navi Mumbai, given all the positives from quality of life to talent availability, to cleanliness, to traffic, to safety, to low attrition, cost of living, real estate cost, all that is definitely we are seeing a momentum towards. One other good point which came up, Pritesh, here in Bombay, you would have seen that announcement of where the government a few weeks back took the toll off. And look at the in Bombay, the toll actually used to divide Mumbai and Navi Mumbai. That's significantly changed in terms of merging both the cities. Again, on the infra front, there's so much being written about Navi Mumbai's infra, which I'm sure you are aware of, whether it's Trans Harbor Link, whether it's the Navi Mumbai Metro Rail Corporation, Navi Mumbai International Airport, the Kalwa Bypass Bridge, the Digha station, which is some six minutes walking from GigaPlex, our Airoli-Katai Naka elevated freeway, which is going to get ready soon, the Ulwe Coastal Road, which is coming up, Panvel Kharghar Suburban Rail. So all the massive infra, which everybody has been talking of, all of us saw the Shinde image, the flight, the airport plane landing at the international airport. All these are definitely going to help Navi Mumbai, and we have been beneficiary to the changing mindset of IT services, BFSI, and manufacturing GCCs in Navi Mumbai. So what would be your, you know, leasing, you know, outlook there? I mean, in the next couple of years, will Airoli assets be back at 95%? So how do you think about that? What I would say is, today the market is anywhere between Thane and Navi Mumbai, which is today the 60-75 rupee market of Mumbai, has a demand of around 2 million sq ft every year, and in that we over the years have coordinated 50% of that market, and that would be my in terms of being having a realistic expectation of 1 million sq ft to be leased in our parks. Got it. That's... Yeah, that's helpful. Second on the Building 4, which is coming up at Kharadi, end of this year. We are only six months away from delivery. What's the leasing status there, you know, in terms of pre-commitments or the pipeline that we are seeing? Yeah. So before I get into the leasing status, that building is on track for completion in January-February 2025, where 90% of the work is more or less completed. The OC will come very soon. The CFO approvals will come very soon. That building, what we call R2 internally, because this is Building 4, that's a total leasable area of 1.04 million sq ft. We are in advanced stages of talking to a GCC for the full building. We also have an IT services company which has shown interest for half the building, and another GCC which has shown interest for the other half of the building. So we have a backup also. But very, very good chance that this GCC we are talking to will lease the full building, and hopefully, we'll be able to share some good news very soon. Got it. And on Madhapur, you know, I think you mentioned not much supply coming up there. We'll have two buildings in FY twenty-seven and our existing vacancy is also very low there. What would be your outlook on the rentals there? Like Kharadi, you would be planning to, you know, lease it out at the later part of the construction stage, where we are a year away to deliver those buildings and probably wait for how market is and, you know, decide on rent, or what's your strategy there? Or whether it's, you know, leasing would be the first priority rather than rentals. Actually, very good question, Pritesh. So, our Hyderabad building, we are at the fourth level. We have crossed more than 23% of the building completion. A lot of concrete being poured. I was there reviewing the construction progress two days back. We have placed most of the contracts, the MEP facade, all that, contracts have been placed. This is going to be a 1.5 million sq ft building. There are two active tenants who have shown interest in this park. Now, we need to take a call if we want to do the lease now or should we wait a little bit further down because the building would get somewhere completed around early to mid-next year. So that's the call we need to take, but the Hyderabad, the first building, wouldn't be stressing me at all right now, because market is super hot, and there is absolutely no supply in and around our park. So we can actually command a good very good rentals. And today a lot of leases which are happening in some of our properties, which are a little old itself, are like 80 bucks. So we have crossed the 80 rupee mark. I'm so not worried about rentals and not worried about absorption for that building. The next building, I think we would wait a little bit, the building eight, which is a 1.7 million sq ft building. Right now, we are overall reached only a 15% stage in that building in terms of construction progress. So we have enough time to... We want to create a nice multi-tenant building there. We don't want to be in a hurry to do pre-leasing there, because we have seen in Hyderabad, if you can wait a little bit, we won't wait till the last three months, we can see that the rentals will go up. So the rentals today in Hyderabad, Madhapur, is in its early to mid-eighties. We definitely see this increasing by the time Building 18 comes up, and we will be the beneficiaries of that, but not at all stressed about leasing these two buildings today. Got it. One last, if I can push, you know, 3.9 million sq ft upcoming pipeline that you have, which is probably not yet started, can you provide a split of that? I understand, like, 1 million sq ft is the data center, another1.5 million sq ft is the new building that you are looking to do in Airoli East. You know, apart from these two, what am I missing out here? So, the data centers now, which we have announced, that's 1.05 million sq ft. Building 15 in Airoli East, that's 1.5 million sq ft. We decided to start this quarter back when we announced it, because we saw the leasing momentum pick up very well. We also have Building 17 in Airoli East, which is going to be nearly eight and a half lakh sq ft building, which will have around two and a half lakh sq ft of hotel, which is already being leased to a Hyatt Regency, and six lakh sq ft of office coming there. We also have another 600,000 sq ft potential, which we are calling Building 18 in Madhapur. So that's what the total is going to be in terms of newer buildings from K Raheja group. Sure. And timeline of delivery would be four years from here on? Right now, we are seeing three years for Building 15 and Building 17. Again, maybe close to three years for Building 18 in Hyderabad. Data center will be a phased development with the first building. See, the data center buildings, the advantage is, it's low-rise. We can deliver it quickly. There are no basements. Your DGs and all that is kept in a separate building next to you. So, most of these buildings are not more than seven stories high. So in terms of speed also, we can complete quite fast with this. Sure. That's helpful. That's it from my side for now, all the best. Thank you. Thank you. Next question comes from Mohit Agrawal from IIFL. Please go ahead. Yeah, good evening, everyone, and thanks for the opportunity. Ramesh, you mentioned that you're looking at occupancy by the end of this year at about 93.5%. So what would be the gross leasing assumption that you've taken for the second half, and which assets would be leased for? We are hoping to lease more space in Airoli. We are hoping we don't have much space left in Madhapur, but that'll also get leased around three lakh sq ft here. I think we'll at least do a couple of lakh sq ft, plus Chennai, whatever, 70,000 sq ft. We're looking at 2 million sq ft at the overall thing for the year. 2 million for the second half? Second half of the year. Yeah. The other thing you spoke in your introductory remarks about INR 900 crore NOI to come from all the development projects that you're taking. So that's 10 million sq ft, which includes the let to lease portion and area under construction, plus future development, correct? That's right. Yeah, 2.1 of vacant area, 4.4 of under construction, and land of 3.9. Yeah. So, so within this, for both your under construction piece and your future development, what is the kind of yield on cost that one should expect and kind of put into both the separate buckets? Is it similar or is it different for your under construction and future development projects? Yeah, I, hi. It will be similar for both. I don't think both of them will be different. Now, obviously, when we are doing any of these developments, at least we want to look at double digit, low double digit, yields, development yields. Of course, sometimes it becomes a little difficult. If you have historical land, then it becomes easier. Obviously, if you're buying new land and doing, then, it's a little tighter, but double digit is what we generally fall for. 12%-14% is the right range? Yeah, around twelve-ish, give or take. Okay. Okay, understood, and lastly, you also mentioned about upgradation CapEx. You know, you've been upgrading your Madhapur building, so you mentioned about 1,000 sq ft, INR 1,000 per sq ft. Approximately on an annualized basis, how much would that budget be for upgradation of your properties? This year, our overall CapEx is around 1,100 crores, overall CapEx. In that, the CapEx for upgrades is around 170 crores. Okay, perfect. That's all from my side. Wish you all a very happy Diwali in advance. Thank you. Wish you also. Thank you. Participants, you may press star and one to ask a question. The next question comes from Tanvir Suri, who is an individual investor. Please go ahead. Yeah, hi. I just wanted to understand how the data center deals are structured. I mean, do they have any life? I mean, is there a, like, do clients keep switching or how is the deal structured once the building is made? So what we do is, we do typically a 20-year initial term, where there is an option to renew for two additional terms of 10 years each. There is a lock-in period of 15 years, which is where the rent is confirmed. And like I said, we do the base building, which costs us anywhere between INR 6,500-INR 7,000. And all the MEP, all the other stuff internally is the DG sets and all the racks and air conditioning inside and everything is done by the client, who in this case is a colo player, who will subsequently give it to many people or he would give it to hyperscaler. So that's how the model is. We are not in the data center business. We are in the business of providing office, data center space, real estate space for data center operators. Got it. Got it. So you said there's a fifteen-year lock-in, and that includes escalation as well? Yes. Escalations typically are around 4% annually for the data center deals, which is- 4% annually. Okay. Okay, thank you so much. Thank you. Thank you. The next follow-up question is from Pritesh Sheth, from Axis Capital. Please go ahead. Yeah, thanks for the follow-up. Just one question for Pritesh. On the capex slowdown, the finance cost at REIT level was INR 160 crore last quarter, and this quarter it's down to INR 87 crore. You know, what has led to that, you know, lower number, and how should we think about it going ahead? Yeah, hi. So I think the only difference is because we had MLD, which we redeemed in the first quarter, so we had that bulk of INR 80 crore of MLD interest, which got repaid on redemption. So that's like a one-off thing which happened in Q1, so you're not seeing that recur Got it. So these are the numbers which you could go with. Okay. Yeah. Okay. Thanks for this. Thank you. Thank you.