At a time when the realty market is treading cautiously owing to slackened sales,premium residential developer Sunteck Realty has acquired 16 acres in Goregaon west for Rs 300 crore.
The listed realty firm,which owns seven acres nearby,is planning to use the entire plot for developing up to six million sq ft of residential,commercial and retail space. Half of the Rs 300 crore was pumped in by Kotak Private Equity Group. Kamal Khetan,chairman and managing director,Sunteck Realty,said the land was bought from Somani Group as a distress deal. We decided to cash in on the opportunity and got a great deal when the market is on the down slide. During the 2008 crisis too,we had acquired a lot of land in Mumbai. On this land alone,we can develop about 4.5 million sq ft of saleable space, he said,adding that a major chunk of the project would be residential with some commercial element meant to complement it. The land is located near the under-construction elevated link between SV Road and Western Expressway.
The real estate group,which specialises in luxury residences,has premium under-construction projects at Bandra Kurla Complex and Airoli. Khetan said they plan to launch the Goregaon project in six-nine months with a per sq ft ticket size of Rs 10,000 upwards. Real estate analysts say despite the slump,the Mumbai property market has recorded a few land sales now and then. For instance,HDIL sold some of its land parcels at Virar,Vasai and Turbhe to mobilise funds. Similarly,around six months ago,Mafatlal Industries sold its seven-acre plot next to the Byculla Zoo,land which was also snapped up by Sunteck Realty along with Piramal Healthcare chairman Ajay Piramal. Several developers who had bought land at ridiculously high prices as well as landlords who were earlier commanding higher rates,taking into consideration the scope for misusing Floor Space Index,may now put the plots up for sale at more rationalised rates, said an analyst.