Mumbai: The sale of Mumbai’s iconic R.K. Studio, founded by legendary actor Raj Kapoor, is likely to fetch around 100-128 crore, property brokers and experts said.

The Kapoor family has started talks with a few local builders to sell 1.6 acres out of the two-acre property located in suburban Chembur, a person aware of the development said, on condition of anonymity.

Actor Rishi Kapoor, son of late Raj Kapoor, told Mumbai Mirror in an interview published on 26 August that the family has collectively decided to sell the studio as it was no longer economically viable to rebuild after severe damage from a fire a year ago.

Kapoor also said the family had considered renovating the property with a state of the art technology.

R.K. Studio was the headquarters of Raj Kapoor’s film production company R.K. Films and was a hub of film shoots, particularly in the 1970s and 1980s.

Another local broker said the property could attract several local developers planning premium residential projects.

When contacted, Kapoor said he will “not be able to comment on the transaction beyond what has been said in the Mirror interview".

The last major deal around Chembur area was in January 2017, when PepsiCo sold its 2.3 acre Duke’s plant to real estate firm Wadhwa group for 167 crore.

According to the deal, cost of land for residential development around the area stands at around 71 crore per acre.

“Land prices around the area for residential developments range between 70-80 crore per acre on the higher side," the broker quoted earlier said, on condition of anonymity.

“The property (RK Studio) would be a sweet spot for developing smaller size housing projects," the person said.

“One may not expect a price lower than the Duke’s deal. Having said that, the real estate market has not grown; instead, it is being compressed over the last few years... So, the land price around area would be 65 crore per acre on the lower side and 80 crore on the higher side," said Shobhit Agarwal, managing director and chief executive officer, Anarock Capital, a real estate brokerage firm.

However, other brokers said that several mid-range developers would be eying the property due to its easy connectivity to most of the Mumbai region.

“Chembur, was once called the cousin of Bandra. Due to its connectivity with prime locations in Mumbai city, Chembur has emerged as a major residential area in the past few years," said Gautam Saraf, managing director, Cushman and Wakefield, a property consulting firm.

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