MHADA lottery offers two south Mumbai flats worth ₹8 crore for ₹5.80 crore

Realty experts vouch that this one of the biggest discounts in the realty market as the starting price of new properties in south Mumbai is at least ₹1 lakh per sq ft.

As a part of its December 16 lottery of 1,384 low-cost houses in the city, the Maharashtra Housing and Area Development Authority (MHADA) has put up for sale two 965-sq ft high-end apartments, costing ₹5.80 crore each, at Cumballa Hill in south Mumbai. This is the highest price quoted by the housing body till date.

MHADA has reduced the prices of its flats by 30-35%. (HT Fi)

The flats are a part of the 22-storey Dhavlagiri CHS. MHADA is charging roughly ₹60,000 for every sq ft area of the apartments, which were initially worth ₹8 crore. Realty experts vouch that this one of the biggest discounts in the realty market as the starting price of new properties in south Mumbai is at least ₹1 lakh per sq ft.

Experts said MHADA has discounted the rate as it does not want to repeat the Lower Parel fiasco of 2017 when 29 of the 36 buyers returned their apartments citing exorbitant prices.

MHADA is confident of selling these 1,384 apartments. “This is a highly discounted price and we will get at least 10 buyers for these flats,” said Madhu Chavan, chairman, MHADA (Mumbai Board). He said MHADA got these flats free as a premium from the builders who undertook the redevelopment project.

Even realty experts called it a steal. “We will have many rich individuals in the race for this property,” said Pankaj Kapoor, CEO, Liases Foras. Cumballa Hill is one of the upmarket residences in south Mumbai. It commands one of the highest rates in the real estate market in India.