A record property deal has been made at Mumbai’s Bandra-Kurla complex. It’s the highest in the country.

December 3, 2007

The price tag for the first plot was Rs 5,04,000 a square metre or Rs 831 crore and the 16,500 square metre plot was bought by Mumbai’s Wadhwa Builders.Wadhwa Builders have paid 229 per cent higher than the reserve price. Reliance Industries bought the second plot — a car park-cum-commercial complex — for Rs 918 crore, valued at Rs 27,917 per square foot. The bid by Reliance was the highest and winning bid.Reliance paid Rs 3,00,500 a square metre, for the 30,550 square metre plot. They bid 96 per cent higher than the reserve price set for the particular plot.Meanwhile, the TCG and Hiranandani joint venture have bagged the third plot, for a commercial complex at Rs 1,041 crore.

Mumbai Metropolitan Development Authority (MMRDA) has raked in Rs 2,790 crore with the sale of these three commercial plots.Prices were expected to touch such dizzying heights, because of the lack of supply existing at the Bandra-Kurla complex on Monday. The MMRDA has positioned it as an international financial business hub and demand kept increasing so far.Consultants said there will be no respite for the next one year. Commercial property prices are expected to touch as high as Rs 60,000 a square foot. But the MMRDA has reacted and said that Rs 2,790 crore is precious little compared to the Rs 260,000 crore that they require in terms of funding to develop and improve the Mumbai Metropolitan region.
It is 230 per cent higher than the reserve price. The reserve price was set at Rs 163,000 a square metre, which was the highest the last time MMRDA sold plots at the BKC. Prices have more than doubled between last year’s auction and this year’s auction.

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