News & Views on Indian Real Estate

Thursday, August 28, 2008

Bandra-Kurla land sold for mere Rs 92 Crore

Another example of cooling real estate market is the land auction at business hub Bandra-Kurla Complex, which fetched Rs 1.55 lakh per sq metre - half the price from the previous auction in March. Ahmedabad based, Talim Research Foundation, a venture of Subhash Chandra's Essel Group of Industries, was the sole bidder, paying Rs 92 crore, only Rs 2 crore over the minimum sale price. The Mumbai Metropolitan Region Development Authority (MMRDA) had to award the 5800 sq m to the only bidder in Talim. Land sales are down since the beginning of the year compared to 2007. "Developers are not willing to pay astronomical prices for a piece of land and waiting and watching for some correction to happen." Mr. Anuj Puri, Country Head, Jones Lang LaSalle, said.