Brigade Enterprises shares in focus on signing 4.86-acre lease with Electronics Tech Parks

Shares of Brigade Enterprises Ltd are in focus on Thursday morning after the Brigade Group signed a lease deed for 4.859 acres of land for a period of 90 years with Electronics Technology Parks for the development of IT infrastructure in Technopark Phase I Thiruvananthapuram, Kerala.

Brigade Enterprises said the property will have an overall development potential of about 1.2 million square feet, comprising of World Trade Center Trivandrum with A Grade office space along with a five-star hotel of over 200 keys. 

"This disclosure is pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015," it said.

Brigade Enterprises recently received ICRA's AA rating on its long-term fund-based term loans of Rs 2,423 crore, A1+ for short term fund-based CC/OD and A1+ for short term commercial papers.

ICRA on November 20 said the rating action reflected Brigade Enterprises' established  position in  Indian real  estate  sector,  with presence across residential, commercial office and hospitality segment; its healthy operating metrics with occupancies of over 90 per cent in office space and collections of over Rs 6,000 crore expected in the residential segment. It also took into account Brigade's comfortable financial profile with modest (less than Rs 100 crore) debt in residential segment and moderate leverage (debt/NOI) of below 5 times in office segment. 

"The adequacy ratio for the residential segment stood healthy at 100 per cent as of September 2025 (95 per cent as of March 2025). Further, the rentals  from  the  leasing  segment  are  likely  to  remain  robust  at  Rs 1,250-1,300  crore  in  FY2026  (PY:  Rs 1,197  crore) driven by the healthy occupancy levels of the office and retail segments at 93 per cent and 91 per cent respectively, as of September 2025,along with scheduled escalation of rentals," ICRA said.

With improvement in ARR levels and occupancy levels, the RevPAR of the hospitality segment improved  11 per cent  YoY in H1FY2026  and  is  expected  to  remain healthy in FY2026. Consequently,  the  cash  flow operations are estimated to remain healthy resulting in leverage of less than 2.25 times in the medium term. As on September 30, 2025, Brigade Enterprises has limited debt against its residential and hospitality segmen

ICRA though noted that the rating strength are partially offset by the Group’s geographical concentration risk as Bengaluru accounts for 79 per cent of the saleable area in the ongoing real estate projects as on March 31, 2025 and 51 per cent of leasing segment revenue in FY2025, which exposes it to any region-specific downturn in demand.