Tata Steel’s 25 acre land parcel fetches Rs 1,155 crore
Mar 25, 2014
Source : The Economic Times


MUMBAI: Steel major Tata Steel's 25-acre land parcel in Borivali suburb of Mumbai has fetched the highest bid of Rs1,155 crore in an e-auction concluded late Monday, said three persons familiar with the development. Realty majors Lodha Group, Oberoi RealtyBSE -2.96 %, Kalpataru Properties and Tata Group company Tata Housing Development Co were in the race to acquire the property. It is believed that Tata Housing has offered the highest bid. However, this could not be confirmed independently.

In an e-auction concluded on late Monday, the bids had started at Rs750 crore for the prime land parcel. The plot located near the western express highway and around 1 km from Borivali railway station earlier housed Tata SSL's steel wires manufacturing facility. The manufacturing unit was shut down in 2009 after the operations were shifted to Tarapur in 2008.

In terms of value, the Tata SteelBSE 1.39 % land transaction is among the largest one in recent years. In 2012, realty major Lodha Group had acquired a 17.5-acre land parcel at Lower Parel from DLF for Rs2,725 crore.

The buyer is estimated to get a total development potential of 2.5 million sq ft out of this prime land parcel and 4 million sq ft after obtaining permission for public car parking. Current residential property rates in Borivali are around Rs12,000 per sq ft. Tata Steel and transaction advisor property consultant Knight Frank India declined to comment for the story. Text messages and calls to Tata Housing Development Co's senior officials did not elicit any response until the time of going to the press.

Tata Housing is now expected to pay 10per centof the bid value as earnest money deposit within two days at the time of signing the Letter of Intent (LoI). The highest bidder is expected to pay the balance amount by April 28, following which two separate MoUs will be entered between Tata Steel and the developer.

As per the transaction terms, the developer is expected to obtain collector's permission for the sale of Sanad land forming part of the total property and a no-objection certificate from the labour authority. According to the bid documents, if the bidder is not able to obtain these approvals within three months, the MoUs will automatically stand cancelled and Tata Steel will forfeit the participation deposit and earnest money deposit.







Latest Realty News

Panchshil signs brand licensing for premium residential projects
Mar 25, 2014
PUNE: Pune-based real estate developer Panchshil Realty, has signed brand licensing agreement with another real estate Pune based developer Elite Landmarks to develop mid size apartments in Pune. According to Panchshil, this is a first-of-its-kind brand licensing in India.
CJI moves Cidco hotel plot case to another bench
Mar 25, 2014
MUMBAI: A Supreme Court bench, headed by the Chief Justice of India (CJI) P Sathasivam, on Monday requested a two-judge bench, headed by Justice Gyan Sudha Misra, not to hear a matter listed before it for a day after lawyers representing the City and Industrial Development Corporation (Cidco) complained of forum-hunting and sought de-tagging of its case.
Realty companies wake up to brand value, challenge infringement
Mar 25, 2014
MUMBAI: Real estate developers in India have started challenging possible infringement of their brand names established over the years, joining their counterparts in sectors such as pharmaceuticals and consumer goods that are known to make serious efforts to promote and protect their distinctive identities.
Mumbai flat buyers at mercy of property developers
Mar 25, 2014
MUMBAI: Flat buyers often find themselves at the mercy of property developers. Unscrupulous builders are known to suddenly turn around and demand additional money from purchasers when the time comes to hand over possession of the flat.
Oberoi Realty, Kalpataru in race for Tata Steel plot
Mar 25, 2014
MUMBAI: Real estate developers Oberoi Realty and Kalpataru have emerged front runners in a race to acquire Tata Steel’s 25-acre plot here.
Routine civic work hit by poll duties tax recovery disturb AMC's routine work
Mar 24, 2014
AURANGABAD: The civic body's routine work has literally come to a standstill for the past few days with most of its officers and employees engaged in election duties.
IDFC Alternatives mops up ?750 crore for maiden realty fund
Mar 24, 2014
MUMBAI: IDFC Alternatives, a wholly owned subsidiary of infrastructure finance company IDFC, has raised Rs 750 crore from domestic investors for its maiden real estate fund. The performance, despite the slowdown in the economy, exceeded the company’s expectations.
Navi Mumbai: A rise in capital values in Nerul, Airoli and Palm Beach
Mar 24, 2014
MUMBAI: Looking to invest in Navi Mumbai? Nerul, Airoli and Palm Beach, are localities that offer property investments that garner constant returns. According to MagicBricks.com data, these localities have witnessed a hike of 12-19 per cent in capital values in the last one year. Property experts say that the clearance of the proposed Navi Mumbai Airport is the factor that has pushed property prices in these localities.
Realty’s online mantra
Mar 24, 2014
MUMBAI: When the great online shopping festival took place last year, where everything, from a pin to a plasma television (quite literally) was sold online, little did people know that they would end up buying expensive items like cars or even a home, for that matter, through that medium. Today, it is not uncommon to see niche and high-value categories, such as jewellery, automobile and real estate, featuring among the best deals online. According to a Google estimate, the online retailing marke
Urban Development Department,UDD,UDISSMT,Small And Medium Towns Scheme
Mar 22, 2014
AURANGABAD: With the current financial year coming to an end, principal secretary of the state urban development department (UDD) on Friday asked the heads of respective municipal bodies across the Marathwada region to improve the collection figures of various taxes. Till date, the collection figures through property tax stands at 47% and 32% through water tax.

Latest Realty News Of State

Realty Talk's