JM Financial gets 1.42 lakh sq ft office space in Mumbai through CIRP resolution
In a key transaction stemming from a bankruptcy settlement, non-banking finance company
JM Financial
Products has acquired ownership of over 142,000 sq ft of office space spread across four floors in an upcoming commercial tower in
Mumbai
's eastern suburb Mulund.
The acquisition is part of a court-mediated corporate insolvency resolution process (CIRP) connected to takeover of a stalled project formerly promoted by
Ariisto Realty
.
The investment-focussed NBFC has been allotted floors 40, 41, 42 and 44 in the office wing of the project. The ownership transfer was formalised on April 4 and the property's possession is expected by December end.
While the transaction was structured as a transfer rather than a direct sale, the office space is pegged at a market value of over Rs 150 crore. This deal is tied to the resolution framework implemented when another realty developer took over a long-delayed Ariisto Realty project in the eastern Mumbai suburb.
The underlying land belongs to
Avdhut Properties Pvt Ltd
(APPL), a company affiliated with Ariisto, showed the registration documents accessed through realty data analytics platform Propstack.
'This is part of a structured settlement reached during the resolution of liabilities involving multiple parties, where built-up commercial real estate was transferred in lieu of financial dues,' said a person familiar with the development.
ET's email query to JM Financial remained unanswered until the time of going to press.
Ariisto, a Mumbai-based real estate firm with stalled residential and commercial projects in Mulund, entered corporate insolvency in November 2018 due to Rs 2,200-2,500 crore of debt.
In March 2021, the Mumbai bench of the
National Company Law Tribunal
(NCLT) approved a hybrid resolution plan by a Bengaluru-based developer, under which the company would pay Rs 370 crore in upfront cash and allocate 800,000 sq ft of commercial space to creditors, resolving Rs 1,650 crore of liabilities.
The plan, one of Maharashtra's largest real estate resolutions, benefits around 500 homebuyers and ensures project completion within a multi-year timeline while granting creditors both cash and built-up assets.
A special purpose vehicle executing the project is currently developing this tower as a commercial component of its larger integrated township in Mulund. The transaction highlights the evolving methods of dispute resolution in Indian real estate, where developers are settling dues through real asset transfers rather than cash payouts.
This acquisition also adds a strategic Mumbai asset to JM Financial's growing portfolio, underlining the company's long-term commitment to commercial real estate. Once completed, the high-rise office block is expected to be among the grade A office spaces in Mumbai's eastern suburbs, catering to financial institutions and corporate occupiers.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Hans India
25 minutes ago
- Hans India
Weekly market wrap: Sensex tanks 1,070 pts; Nifty slips below 24,750 on global tensions, inflation cooldown
The Indian equity markets ended the week in the red as escalating geopolitical tensions and global economic uncertainty weighed on investor confidence. The US-Iran conflict, Israeli military strikes, and nervousness over US-China trade talks triggered widespread selling. The Sensex dropped by 1,070.39 points (1.30%) to close at 81,118.60, while the Nifty 50 fell 284.45 points (1.14%) to settle at 24,718.60. Despite the fall, the BSE Mid-Cap and Small-Cap indices showed relative strength, losing only 0.90% and 0.13%, respectively. The week started with optimism but ended sharply lower following geopolitical flare-ups and fears of rising crude oil prices. India's CPI inflation cooled to 2.82% in May—the lowest since 2019—led by easing food prices. Among stock movers: HDFC Bank fell after an FIR; MCX gained on SEBI's green light; Glenmark soared on drug launch; M&M and JSW Steel dropped despite healthy output. Global cues were mixed with China, UK, and Japan showing economic strain, while US inflation rose moderately.
News18
26 minutes ago
- News18
FTA with India brings ‘genuine' competitive advantage, UK Parliament told
London, Jun 14 (PTI) The Free Trade Agreement (FTA) negotiations concluded with India places the UK at a 'genuine" competitive advantage in the manufacturing sector, the House of Commons was told this week. During a debate on the bilateral FTA agreed last month, UK Business and Trade Secretary Jonathan Reynolds fielded a series of questions on the advantages of the deal which has been pegged to increase bilateral trade by GBP 25.5 billion annually in the long term. Reynolds reiterated that the pact marked a huge economic win for the UK as the 'best deal that India has ever offered". 'On advanced manufacturing… a set of advantageous positions has been agreed, putting this country at a genuine competitive advantage, particularly in relation to sectors such as automotive and machinery," said Reynolds, in response to a question by British Sikh Labour MP for Smethwick, West Midlands, Gurinder Singh Josan. 'India is traditionally a very protectionist economy, and it is the world's fastest growing big economy. Whether it is for goods or services… or the West Midlands as a whole, there is so much good stuff here to celebrate," added the minister. The debate this week comes ahead of UK-India Week, which begins next week as part of the annual India Global Forum (IGF) summit in London. The India-UK FTA is set to dominate the agenda, with Minister of Commerce and Industry Piyush Goyal among the speakers expected to address the forum. It will also mark the launch of the 2025 edition of the 'India Meets Britain Tracker', which analyses the investment flows by Indian companies into the UK. With the UK and India ranking as the sixth and fourth largest economies respectively, the Tracker offers insights into one of the world's most strategic investment corridors following last year's report setting a new record of 971 Indian-owned companies operating in the UK – a figure that has been consistently on an upward trajectory. 'Indian businesses are no longer just investing abroad – they are transforming global economies," said IGF founder Manoj Ladwa. According to the UK's Department for Business and Trade (DBT), the India-UK FTA slashes tariffs across the board and is set to increase UK GDP by GBP 4.8 billion and wages by GBP 2.2 billion each year over the next decade. PTI AK NPK NPK First Published:
Time of India
33 minutes ago
- Time of India
ONGC chief calls for making arbitration proceedings timely, Arjun Ram Meghwal pitches for institutional arbitration
Union Law Minister Arjun Ram Meghwal on Saturday pitched for institutional arbitration , saying it was part of Indian culture after the ONGC chairman urged making arbitration proceedings timely and not "timeless". The government has been pushing for institutional arbitration instead of ad hoc arbitration asserting it is efficient and more result oriented. The industry on the other hand feels arbitration in India is slow, inefficient and plagued with red tape. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Co-Founder of Google Brain, Andrew Ng, Recommends: "These 5 Books Will Turn Your Life Around" Blinkist: Andrew Ng's Reading List Undo Singapore, London and Dubai have emerged as hubs of international arbitration to settle high stakes, high value commercial disputes . Addressing a conference on institutional arbitration here, the minister also said that organisations should be ready to be flexible and rigid, depending on the need of the hour, to ensure that its interests remain protected and it contributes towards nation building. Live Events Meghwal felt that officers should be willing to take risk and not follow the beaten track to ensure financial interests of their organisation. Meghwal lamented that while arbitration was part of Indian culture, the concept got "disturbed" somewhere and other countries became hub of international arbitration. He hoped that India will soon emerge as the new hub of international arbitration. Earlier, speaking on the occasion, ONGC Chairman Arun Kumar Singh said time is money, and hence there was a need to make the procedure of arbitration timely and not "timeless". He said settlement of commercial disputes in a time-bound manner was quintessential for the business ecosystem. He also felt that there was a need to make arbitration "more corporate and less legal". Singh said disputes largely arise out of three reasons: executives being excessively conservative who pass the buck to save their skin; excessive optimism of vendors who take contracts at low bids and subsequently fail to complete the job and create disputes to wriggle out of the situation; and rigidity in contracts, which make completing tasks difficult. Law Secretary Anju Rathi Rana said the government has been consistently trying to make arbitration and mediation processes faster and easier. She recalled a recent directive from the Department of Legal Affairs, which pushes for reducing judicial interventions and using institutional and not ad hoc arbitration. The chairman of India International Arbitration Centre, Justice (retd) Hemant Gupta, said the mindset has to change for parties to go for institutional arbitration, rather than an ad hoc system to settle commercial disputes. He said people will have to choose institutional arbitration to understand its benefits over court-appointed arbitration.
