Mindspace REIT Raises Rs. 550 Cr via IFC Sustainability Bonds

Mindspace Business Parks REIT, a leading owner and developer of Grade-A office portfolios in India, has raised an additional INR 550 Crore through Sustainability Linked Bonds (SLBs) from the International Finance Corporation (IFC), the private sector arm of the World Bank Group.

This follows its earlier issuance of INR 650 Crore in June 2024, bringing the total SLB funding to INR 1,200 Crore. This landmark transaction marks the first-ever SLB issuance by an Indian REIT under the new SEBI ESG Debt Securities framework introduced on June 5, 2025.

Key Highlights

• Mindspace REIT raises INR 550 Cr from IFC via SLBs
• First Indian REIT to issue SLBs under SEBI’s 2025 ESG framework
• Bonds linked to GHG reduction, energy intensity, and green area growth

The framework enhances standards of transparency, independent review, and ongoing compliance, setting a benchmark for India’s real estate sector in sustainable financing. Key details of the new issuance include: Amount Raised – INR 550 Crore; Investor – IFC; Tenure – 8 years; Credit Rating – [ICRA] AAA (Stable); Second Party Opinion – Bureau Veritas Industrial Services; Legal Counsel – Shardul Amarchand Mangaldas & Co.

Ramesh Nair, MD and CEO, Mindspace REIT, said, "With this issuance, we’re taking a big step forward on our sustainability journey. Being the first REIT to raise Sustainability Linked Bonds under SEBI’s new ESG framework shows our intent to lead from the front. Partnering with IFC gives us global backing, and it will help us drive energy efficiency, add more green-certified space, and build a portfolio that’s ready for the future."

Imad N Fakhoury, Regional Director for South Asia, IFC, said, “IFC is pleased to deepen its partnership with Mindspace REIT through an additional investment, fuelling the growth of REITs as an asset class and strengthening India’s real estate sector. By championing sustainable buildings and innovative financing, we are creating opportunities for developers, investors, and communities. This investment will accelerate the development of world-class office infrastructure that generates jobs, attracts global capability centres and top employers, and strengthens India’s business environment.”

Also Read: Mindspace REIT Achieves Record-Breaking FY25 with 14.1 percent Revenue Growth and Robust Leasing

What distinguishes this issuance is its strong linkage to measurable ESG performance targets, ensuring accountability. These include reduction of greenhouse gas emissions, increasing the share of green-certified areas under management, and reducing energy intensity. By aligning financial outcomes with sustainability performance, Mindspace REIT is embedding ESG principles at the core of its business growth strategy.

The successful transaction underscores Mindspace REIT’s leadership in responsible real estate financing, while also positioning Indian REITs as credible participants in global sustainable capital markets.