Morgan Stanley bullish on Indian REITs on strong returns; Mindspace stays top pick

Embassy Office Parks REIT

12/10/2026 09:37

** Morgan Stanley says strong expansion by global capability centres supports double-digit total returns for Indian REITs, aided by sustained office demand
** Brokerage sees Indian REITs delivering 9%-12% distribution per unit growth in FY27, outpacing regional peers while offering comparable yields
** Mindspace Business Parks REIT MINS.NS remains top pick; brokerage raises price target to 550 rupees from 490 rupees, citing occupancy upside and data-centre-led growth
** Brokerage downgrades Brookfield India REIT BROF.NS to "underweight" from "equal-weight", trimming PT to 330 rupees from 340 rupees, citing weak acquisition-led growth and leverage risks
** Also downgrades Embassy REIT EMBA.NS to "equal-weight" from "overweight" and cuts PT to 455 rupees from 460 rupees, citing limited occupancy upside beyond 93%-94% from current 91% in FY27
** MINS, EMBA and BROF all rated "Buy" on average; with median PTs of 538 rupees, 485 rupees and 371 rupees respectively - LSEG-compiled data
** MINS the only YTD gainer among pack; BROF and EMBS down 2.2% and 1%, respectively

 (Reporting by Mridula Kumar and Kashish Tandon in Bengaluru)
 ((Mridula.Kumar@thomsonreuters.com;))