Cash-strapped MTNL begins auctioning properties in Mumbai and Delhi

Instead of selling its telephone exchanges and large land parcels, MTNL has, for now, put up seven commercial properties and one residential unit for auction

Mumbai: State-owned telecom firm Mahanagar Telephone Nigam Limited (MTNL) has begun auctioning its real estate assets in Mumbai and Delhi as part of efforts to raise funds and ease financial stress. Instead of selling its telephone exchanges and other large land parcels, MTNL has, for now, put up seven commercial properties and one residential unit for auction, an official said.

Mumbai, India - Jan. 23, 2026:White Hall at Kemps Corner in Mumbai, India, on Friday, January 23, 2026. (Photo by Anshuman Poyrekar/Hindustan Times) (Anshuman Poyrekar/HT Photo)

In Mumbai, at least two properties are on the block in the prime localities of Kemps Corner and Andheri West, while six others are being offered in Delhi. The debt-laden company expects to raise at least ₹26.41 crore from this round of sales.

In south Mumbai’s Kemps Corner, MTNL is auctioning seven shops and two parking spaces in the White Hall building, with a total built-up area of 3,123.9 sq ft. The reserve price is ₹82,301 per sq ft. A 237-sq-ft studio flat in Andheri West’s Raheja Classique 1 building on New Link Road is also up for sale, with a reserve price of ₹70.75 lakh or ₹29,853 per sq ft.

According to company documents, MTNL has identified 94 properties in Mumbai and Navi Mumbai, of which at least 42 will be sold to raise funds for the financially ailing company, which is unable to service its burgeoning debt. Similarly, there are 69 such properties up for sale in Delhi. MTNL has also drawn up a list of land parcels and buildings in the two cities that could be monetised.

Unable to bear administrative costs, including salaries, the company had to transfer about 50% of its staff to Bharat Sanchar Nigam Limited (BSNL) in 2024-25. This was in addition to providing employees with the option to sign up for the Voluntary Retirement Scheme.

Until December 31, MTNL’s non-performing assets were worth ₹9,036 crore from seven public sector banks—Union Bank of India, Punjab National Bank, Bank of India, UCO Bank, State Bank of India, Punjab and Sind Bank and Indian Overseas Bank.

Last month, the company approved the sale of its residential quarters, having 28 apartments, at Mumbai’s Bandra Kurla Complex to the National Bank for Agriculture and Rural Development (NABARD) for ₹350.72 crore, according to an exchange filing.