Mumbai: Welspun Group managing director Rajesh Mandawewala has bought a three-floor sea-facing apartment in an upcoming South Mumbai residential tower for around ₹ 127 crore, a person involved in the transaction said.
The 20,989 sq.ft apartment is part of 25 South, an upcoming luxury project at Prabhadevi, the person mentioned above said on condition of anonymity. The purchase comes at a time when luxury home sales have slowed down.
The residential project consists of three towers and is being jointly developed by real estate firm Wadhwa Group and local developer, Hubtown, on a five-acre plot. So far, only the first tower with 47 storeys has been launched. The building, expected to be completed in the next four to five years, comprises three and four bedroom apartments, with prices starting from ₹ 9 crore.
Mandawewala has bought the top three floors (45th, 46th and 47th) of the first tower. All the apartments are bespoke homes that would be customised and built according the requirement of the buyer, the person mentioned above said.
The deal has been signed at the rate of ₹ 60,517 per sq. ft totalling ₹ 127 crore for all three floors. However, Mandawewala is said to have paid another ₹ 40 crore for other customised developments within the apartment, said another person who did not want to be identified.
“The apartment has been bought for personal use," the second person mentioned above said. Spokespersons of both Wadhwa and Welspun group declined to comment.
Apart from being the group managing director of the Mumbai-based conglomerate, Mandawewala is also the managing director of Welspun India, the textile unit of the firm. He has been associated with the company since its inception.
In the last two years, the company has been in turmoil, facing two class-action lawsuits in US federal courts. In 2016, the company was pulled up by largest clients in the US for supplying sheets made of cheap cotton being passed off as the more expensive Egyptian cotton. Following the controversy, its second largest customer Target Corp. had snapped business ties with Welspun India. This led to investigations by other US clients such as Ikea Ab, Bed Bath & Beyond Inc and Wal-Mart Stores Inc.