5 days ago
Schloss Bangalore allotted BKC plot, to build luxury hotel
MUMBAI: Brookfield-backed Schloss Bangalore (The Leela) has been allotted a commercial plot at the Bandra Kurla Complex (BKC), where it intends to develop a mixed-use project, including a 250-key luxury hotel, the company said in a regulatory filing. The 80-year lease has been allotted to the company-led consortium with partners Arliga Ecospace Business Park Pvt Ltd and Schloss Chanakya Pvt Ltd.
The allotment is one of two mega deals signed by the Mumbai Metropolitan Region Development Authority (MMRDA). The other is with Goisu Realty Pvt Ltd, a subsidiary of Japanese real estate developer Sumitomo Realty & Development Company. The company has been allotted an 80-year lease for two plots at BKC.
The MMRDA handed over the allotment letters for these plots on June 3, in the presence of chief minister Devendra Fadnavis and Koji Yagi, consul-general of Japan, MMRDA officials said.
Together, the deals are worth ₹3,840.49 crore. The three plots collectively measure 8,6321.80sq m of built-up area, which will generate revenue of ₹3,840.49 crore for MMRDA. This is an average ₹4,44,902.80 per sq m, against a reserve price of ₹3,44,500 per sq m of built-up area for commercial plots with an 80-year lease.
The leases with the two global investors are expected to provide a significant financial boost to MMRDA, which is shouldering an enormous infrastructure spend for the decade—it is executing projects worth thousands of crores across MMR, including metro corridors, elevated roads and key connectors. The revenue it generates to fund its mega-projects comes from commercial exploitation of its land bank, as well as infrastructure-related earnings and revenue earned from the metro network it operates.
In February, MMRDA had called for tenders for seven of its plots in BKC. The bids for the three plots, relating to Schloss Bangalore and Goisu Realty, were a part of this round. The MMRDA found no takes for the remaining four plots – three residential and one commercial. It is expected to invite bids for these plots, once more.
In 2022, MMRDA earned ₹2,067 crore when Goisu Realty Pvt Ltd secured the lease rights to two land parcels in BKC. In 2019, Goisu Realty leased a 12,486sq m plot in BKC for ₹2,238 crore, making it one of the largest land deals by a foreign company in India.
With inputs from PTI
