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Piramal set to buy 3.20-acre plot in Mumbai for ₹153 crore

This plot is adjacent to Piramal Revanta, which is under construction. The new addition will enhance the entire Revanta project, which will now be spread across 12 acres of land, with an investment of Rs1,800 crore

mumbai Updated: Oct 04, 2017 10:46 IST
Naresh Kamath
Naresh Kamath
Hindustan Times
Piramal,Piramal Revanta,Anand Piramal
The real estate market has been seeing a slowdown, leading to pressure on builders.(HT FILE FOR REPRESENTATION)

In a major realty deal, Piramal Realty is all set to buy 3.20 acres of land parcel in Mulund from Nirmal Lifestyle for Rs153 crore. Incidentally, this plot is adjacent to Piramal Revanta, which the company is in the process of building.

According to Anand Piramal, executive director, Piramal Group, it was a strategic acquisition. “This strategic land acquisition will now significantly benefit existing and potential customers with direct access to development from LBS Marg – the main access road, and a larger layout with more open spaces, additional amenities and reduced density,” he said.

This addition will enhance the entire Revanta project, which will now be spread across 12 acres of land with an investment of Rs1,800 crore.

In the past few years, faced with a slowdown and depletion in sales volume, there has been pressure on builders. Many of them tried to reduce their debt by selling their assets, restructuring loans, inking development management agreements and speeding up deliveries. The pressure has only increased with the advent of the real estate regulator and Goods and Service tax (GST). The regulator mandates disclosure of all project details and also has penal action for violations.

According to Knight Frank India Limited, a real estate consultancy firm, this is just a beginning of the churning process. “In the coming months, we will see lot of consolidation and partnerships in the realty sector. There will be due diligence in place,” said Samantak Das, Chief Economist and National Director (Research), Knight Frank India Limited.

Just last month, Godrej Properties inked a Development Management Agreement with Nirmal Ventures to build an integrated township spread across 14 acres in Thane.

First Published: Oct 04, 2017 00:33 IST