Brookfield acquires Jet Airways’ office floor in Mumbai's BKC for ₹370 crore: Report

Mumbai real estate update: The additional office floor bought by Brookfield in BKC was earlier owned by Jet Airways, according to media reports

Brookfield Asset Management has acquired an additional office floor in the 19-storey Godrej BKC tower for ₹370.25 crore, according to media reports.

Mumbai real estate update: Brookfield Asset Management has acquired an additional office floor in the 19-storey Godrej BKC tower for ₹370.25 crore(Picture for representational purposes only) (Pixabay)

The transaction, conducted under the Insolvency and Bankruptcy Code (IBC) and overseen by the National Company Law Tribunal (NCLT), follows Brookfield exercising its right of first refusal to match Bank of Baroda’s winning bid, according to a report published in The Economic Times.

The report said that with this purchase, Brookfield now occupies approximately 250,000 sq ft across three contiguous floors in the same building. The additional space acquired by Brookfield was earlier owned by Jet Airways.

The deal also grants exclusive parking rights and transfers Jet Airways' seat on the building’s management board to Brookfield, elevating its strategic influence over building operations, the report said.

According to the report, the newly acquired floor had previously been sealed by the Municipal Corporation of Greater Mumbai due to unpaid dues, but it was de-sealed in April following NCLT directions.

All about BKC

BKC is India's costliest commercial district, and recently, it was in the news for closing land deals worth nearly ₹5,000 crore. These deals have been reported in Bandra-Kurla Complex (BKC), Mumbai's most expensive commercial district.

Given Mumbai's limited land availability, vacant land deals are rare in the city's financial hub. However, the Mumbai Metropolitan Region Development Authority (MMRDA), the special planning authority (SPA) for BKC, successfully leased five land parcels from its landbank earlier this year for a term of 80 years, generating close to ₹5,000 crore in revenue.

Out of the five land deals, one deal also included that of a consortium led by Brookfield, including Schloss Bangalore Ltd, Arliga Ecospace, and Schloss Chanakya Pvt. Ltd., which won the bid to lease 8,411 sq meters of land in BKC's G Block. The land parcel has a development potential of 33,647 sq meters and will be leased for 80 years at ₹1,302 crore, MMRDA had said on April 4.

BKC has several government offices, including MMRDA, Goods and Services Tax (GST), Reserve Bank of India, Income Tax Department, and Family Court. The US consulate is also located there near the Jio Convention Centre. Luxury hotels such as Sofitel and Trident are also in BKC.

Prominent companies with offices in BKC include Jio, Apple, Netflix, Google, Facebook, Amazon, the National Stock Exchange, Standard Chartered Bank, WeWork, CISCO, Pfizer, Spotify, and Blackstone.