Bangalore: A subsidiary of Mumbai-based realty firm Lodha Developers Ltd has picked up a 6.1 acre (25,000 sq. m) plot in central Mumbai for Rs4,053 crore for commercial development.
At Rs82,000 per sq. m, Lodha paid Rs42,000 per sq. m above the floor price.
This was nodal agency, Mumbai Metropolitan Region Development Authority’s (MMRDA) second attempt to sell the land in the Wadala area. It had called off the first auction earlier this year as it didn’t receive good bid rates.
This time, the bidding was competitive, with Sunteck Realty Ltd’s Rs3,465 crore bid emerging second to Lodha’s. Bids were also made by Indiabulls Real Estate Ltd and Gaur Hari Estates Ltd.
“We are happy with the auction response this time,” an MMRDA spokesperson said.
“Any bidder would pay a substantial premium for a prime plot in Mumbai,” said Akshaya Kumar, chief executive, Park Lane Property Advisors Ltd.
MMRDA had initially earmarked the plot for the 101-storey Iconic Tower project, but the plan ran into trouble due to the location’s proximity to the airport. The plot, now reserved for commercial space, will generate a buildable area of 50,000 sq. m.
It has been leased out for 65 years on a design, build, own, operate and transfer model.
MMRDA’s other land auction in Mumbai’s Bandra Kurla Complex didn’t find any takers in March, which was priced at Rs3 lakh per sq. m.