Parsvnathoutbids DLF in Rs 821-cr land deal

In India’s third-largest land deal, Delhi-based real-estate developer Parsvnath Developers Ltd on Friday outbid DLF Universal...

In India’s third-largest land deal, Delhi-based real-estate developer Parsvnath Developers Ltd on Friday outbid DLF Universal and eight others to bag a 129 acre plot in Chandigarh’s Rajiv Gandhi Technology Park for Rs 821 crore.

While DLF bid Rs 567 crore, Rs 254 lower than Parsvnath, the Emaar-MGF consortium did not qualify technical bids. Omaxe, Shipra, L&T and Nagarjuna were eliminated in earlier rounds.

Parasvnath bid Rs 621 crore for residential and Rs 200 crore for the commercial part of the plot. Besides paying Rs 821 crore for the plot, Parsvnath will share 30% revenue from sale of residential properties with Chandigarh Housing Board, the owner of the plot.

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Including the revenue share—estimated to be Rs 600-700 crore—the deal works out to Rs 1,521 crore, just short of Unitech’s Rs 1,583 crore acquisition of a 340-acre plot in Noida which remains India’s largest land deal ever.

While four million sq ft of the 129 acre plot will be used for residential purpose, five million square feet will go towards commercial development. Service apartments will be developed over one lakh sq ft. Overall, there will be about 1,550 residential apartments along with many villas in the project, which will take 2-3 years to complete. Parsvnath refused to comment on the price of the apartments.

A seven-star club and a sports academy will also be created in the park which houses MNC giants like IBM, Dell, Quark and Infosys. The deal surpasses DLF’s Rs 702-crore bid for National Textile Corporation mill land in January this year.