Realty major Unitech has sold a hotel in Gurgaon for Rs 200 crore and is close to selling another hospitality project by June-end for a similar amount, as part of its exercise to raise funds for reducing debt.
According to a source close to the development, the company has already signed an agreement to sell its 190-room budget hotel located at NH-8 in Gurgaon.
Unitech has signed a memorandum of understanding with a high networth individual (HNI) to sell its Gurgaon hotel for Rs 200 crore, the source added.
The sale of the Gurgaon hotel comes on the heels of the company selling its prime office complex at upmarket Saket in South Delhi for over Rs 500 crore. Last week, Unitech sold the office complex that comprised 2.1 million sq ft to an HNI.
The source also said Unitech is in the advance stages of negotiations with two HNIs for selling its Marriott service apartment project, comprising 150 rooms, in Gurgaon.
The service-apartment deal is likely to get finalised at about Rs 200 crore, the source added.
In the last fiscal, the country's second-largest realty firm had sold a 299-room hotel at Gurgaon for Rs 231 crore.
Apart from the two hotels that has already been sold, the company is currently developing four more such projects.
Unitech had told its investors last week that it expects to sell more hospitality projects in Noida, Kolkata and Gurgaon within the next six months.
The company has decided to sell assets, including hotels, office complexes and school plots, for retiring its debt that currently stands at Rs 7,800 crore.
To improve the cash flow, the company has decided to maximise volumes instead of maximising realisation by developing affordable housing. It has also shifted from the lease model to sale model for commercial complexes.
Besides raising funds by selling assets, Unitech had last month raised Rs 1,621 crore through private placements. The funds would be utilised mainly to fund its various projects and retire a part of its debt.
Unitech has brought down its debt to Rs 7,800 crore in the last two months. As on March 31, 2009, its debt stood at Rs 8,400 crore.