The Haryana Urban Development Authority (Huda) has sold 9.82 acres of commercial land in Sector 47 of Gurugram to Swedish furniture retailer Ikea for Rs842 crore.

“The site was successfully auctioned to iconic furniture retailer Ikea, a Swedish multinational group that designs and sells ready-to-assemble furniture, kitchen appliances and home accessories," Huda said in a note on Wednesday.

“Ikea India has expressed interest in buying the first land parcel in Gurgaon. As of now, the process is underway and we are awaiting approvals from relevant authorities. We will comment further once the process is completed," said an Ikea spokesperson.

Huda put the land up for e-auction on 6 October.

“This e-auction has come as a relief to cash-starved Huda," said Vivek Kalia, estate officer, Huda. Huda sold two acres of a commercial plot to Hyundai in Sector 29 of the city in 2016 at Rs205 crore, Kalia added.

“This is not a one-off deal as we have planned auctions of other institutional and commercial properties in the next few months. Gurugram has seen reduced demand, mainly due to a rapidly changing investment scenario in realty, especially in the commercial section. However, we are hopeful of selling more properties and generating a good revenue for Huda from the estates of Gurugram," said J. Ganesan, chief administrator, Huda.

The site was put up for e-auction on three occasions but found no takers until the furniture brand placed a successful bid for it on 31 October.

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