Parsvnath wins Delhi land bid for Rs1,651 cr

Parsvnath wins Delhi land bid for Rs1,651 cr

New Delhi/Mumbai: Realtor Parsvnath Developers won the bid for a 38.3-acre (15.50 hectares) land in New delhi auctioned by Rail Land Development Authority (RLDA) for Rs1,651 crore, a spokesman said on Thursday.

RLDA is a statutory authority, under the ministry of railways, set up to develop vacant railway Land for commercial purposes, its website said.

Indian Railways has about 43,000 hectares of vacant land.

RLDA had fixed a base price of Rs1200 crore for the plot, Abhinav Bhandari, analyst at Elara Capital said.

“Assuming an FSI of 2.5, the company had bid at Rs3,675 per square feet, which is 33% premium to the base price. The price seems reasonable compared with the earlier deals in the region," said Bhandari.

The auctioned land is around 3 km away from New Delhi railway and 2.5 km from Karol Bagh, a prime business area, according to RLDA website.

In August, Indiabulls Real Estate agreed to pay more than double the asking price for a plot of land owned by state-run National Textile Corp (NTC) in central Mumbai.

Ahead of the news, shares of Parvsnath closed up 0.15% at Rs65.55 on the BSE.