Free Equity Delivery
Flat ₹10 per Trade in Intraday & F&O
Published on Friday, July 18, 2025 by Chittorgarh.com Team | Modified on Thursday, November 6, 2025
The upcoming IPO of IndiQube Spaces is drawing attention to a fast-evolving segment in India’s commercial real estate space –managed offices for enterprises. While comparisons with co-working operators are inevitable, IndiQube plays a fundamentally different game: it targets large, long-term clients and offers end-to-end workspace management in full-building formats. The model combines scalability with customisation, and is built for operational depth rather than transactional desk rentals.
As investors evaluate its offer, it becomes important to place IndiQube within the context of its closest industry peers: Awfis, Smartworks, and to a lesser extent, listed commercial REITs like Mindspace and Brookfield.
One of IndiQube’s metrics that stands out is its occupancy rate of 85.1%, which is the highest among its peers. Awfis reported occupancy of 73% while Smartworks came in slightly lower at 83.1%. Occupancy is a key metric in the managed office space model, indicating how efficiently the available inventory is being monetized.
More importantly, IndiQube reports a churn rate of (0.23%), which in this context is a positive sign. It suggests that existing clients are not only staying but are also expanding their presence within IndiQube’s network. In contrast, Awfis reports a churn rate of 1.2%.
While Awfis leads in terms of geographical spread (18 cities vs. IndiQube’s 14), IndiQube appears to be prioritizing depth of execution over broad geographic presence. It has built out 153,830 active seats and has 1.18 lakh of them occupied, pointing to strong utilization. The company also generates 44% of its revenue from clients across multiple centers, further reinforcing client stickiness.
The tier II strategy of IndiQube’s execution model reflects operational discipline. Between 2022 and 2024, it went from 1 to 10 centers in cities like Coimbatore, Kochi, and Jaipur, adding 0.49 Mn sq. ft. of area under management.
The company follows a “spoke-to-hub” approach: launch with smaller centers, test market appetite, and then expand into larger hubs once demand is validated. This lowers capital risk and improves breakeven timelines. In parallel, in Tier I cities like Bengaluru, it continues to grow with high-volume, full-building assets – 5.44 Mn sq. ft. out of its total 8.40 Mn sq. ft. portfolio comes from fully controlled buildings.
IndiQube reported a 2-year revenue CAGR of ~35%, growing from ₹6,013 Mn in FY23 to ₹11,029 Mn in FY25. Under Indian GAAP, the company reported a PAT of ₹21 Cr in FY23, but after moving to Ind AS 116, the restated financials reflect losses largely due to higher depreciation and finance costs, both tied to its capital-intensive expansion phase.
The company’s EBITDA margin stands at a robust 58%, significantly higher than Awfis (~22%), pointing to a stronger operating model. It also holds a CRISIL A+ / Stable credit rating, which reflects improving financial strength across rating cycles. But the path to net profitability under the stricter accounting standard will be one investors track closely.
The IPO size is pegged at ₹700 Cr, with 86% of the proceeds allocated to growth initiatives and debt reduction. A relatively small offer for sale (₹50 Cr) by promoters indicates continued skin in the game.
IndiQube brings a focused, enterprise-first model to the public markets. With high occupancy, high retention rate, and solid operating margins, it’s positioned well within a capital-intensive segment. However, like most players in the space, it remains in investment mode.
The core question investors will need to answer: Can IndiQube translate strong operational execution into sustained net profitability? If yes, it could stand apart in a sector that has historically struggled with scale and cash flows.
As always, valuation and execution discipline post-listing will be key to track.
