Development of Marol real estate to raise Rs1,000 crore for Metro 3 | mumbai news | Hindustan Times
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Development of Marol real estate to raise Rs1,000 crore for Metro 3

mumbai Updated: Jul 07, 2016 01:07 IST
Saurabh Katkurwar

A government agency has been asked to raise funds through real estate development for the execution of a transport project. The Mumbai Metro Rail Corporation (MMRC) will commercially exploit a 3-acre plot in Marol to raise over Rs1,000 crore for the 33.5-km Colaba- Bandra- Seepz Metro 3 project, pegged at Rs23,136-crore.

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The central government mandated that the MMRC consider real estate exploration, said officials.

“When the Cabinet approved the project, its condition was that we raise part of the project cost through real estate development,” said R Ramana, executive director (planning) of the MMRC.

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The Marol plot has three ready-mix plants, which have shut. The state government, which owns the land, is handing it over to the MMRC, whose officials say that the land’s revenue may surpass expectations.

The MMRC plans to exploit three plots—in Mahalaxmi, Hutatma Chowk and SEEPZ—owned by the Brihanmumbai Electric Supply and Transport (BEST).

They will be used for commercial and recreational purposes and will act as integration points between BEST and the metro.

The underground Metro 3 project is the joint venture of the Centre and the State and is being developed on a cash contract, with a loan from the Japan International Cooperation Agency (JICA), which amounts to 57% of the project cost.