NEW DELHI: Realty developer K Raheja Corp and Singapore’s sovereign wealth fund GIC have entered into an agreement to jointly acquire three-acre land parcel in Mumbai’s Worli locality for Rs 610 crore from Siemens.
The company has signed a Memorandum of Understanding (MoU) with K Raheja Corp Group and GIC to transfer its leasehold interest in the property, Siemens said in a regulatory filing.
ET was first to report the proposed transaction on December 12.
K Raheja Corp and GIC are planning to develop a 5 lakh sq ft a commercial project at the site. Two other Mumbai-based realty developers too had bid for the land, but K Raheja-GIC alliance has emerged as the highest bidder.
Siemens and Whispering Heights Real Estate, a proposed joint venture entity of GIC affiliate Reco Solis and the K Raheja Corp Group, have executed the MoU for the transfer and assignment of leasehold interest in the property located at Worli “for a total consideration of Rs 610 crore”, Siemens said.
The proposed deal is subject to receipt of all requisite statutory and regulatory approvals from the concerned authorities and signing of firm agreements between the two parties, it added.
Walls N Roof Comment : K Raheja Corp is one of the most trusted name is the real estate sector. The group has a diversified operations in realty, hospitality, retail and commercial developments. A few projects of the K Raheja Group include Raheja Vistas Premiere Pune, Raheja Vistas in Pune, Mumbai, Hyderabad etc. GIC is one of the largest global investors with well over US$100 billion of assets in more than 40 countries worldwide. GIC has also invested in DLF projects as well.
India’s commercial sector has seen a significant growth in the past few years and received good investments in 2016. IT has been the leading sector of rentals for the sector followed by banks and other institutions. BKC today is the most preferred destination followed by Navi Mumbai, Worli, Thane et al. Worli has very few land parcels available for commercial developments. The experts believe that the demand for commercial sector is on the rise and will continue to do so in the coming 2-3 years.