Mumbai real estate: SBI plans to buy 200 two-BHK apartments for ₹294 crore in a bulk deal for its staff

The State Bank of India (SBI) plans to purchase 200 ready-to-move-in 2 BHK apartments across various locations in the Mumbai Metropolitan Region

The State Bank of India (SBI) plans to buy 200 ready-to-move-in 2BHK apartments across various locations in the Mumbai Metropolitan Region (MMR) for its employees, in a bulk deal valued at around ₹294 crore, excluding statutory taxes.

Mumbai real estate update: The State Bank of India (SBI) plans to buy 200 ready-to-move-in 2BHK apartments across various locations in the Mumbai Metropolitan Region (MMR) for its employees. (Picture for representational purposes only) (Mehul R Thakkar/HT)

According to bids floated on October 7, SBI has invited developers to offer units in select areas, including the central suburbs between Sion and Ghatkopar, the western suburbs between Andheri and Borivali, the Thane–Kalyan belt, and the Navi Mumbai corridor from Kharghar to Panvel.

Each apartment must have a MahaRERA carpet area of approximately 55.74 sq. m. (600 sq. ft.) and be less than five years old, the bank stated in the tender document.

According to the tender document, only projects registered with Maharashtra RERA are eligible to bid, provided developers can hand over completed flats within 180 days.

The SBI has also said that brokers and intermediaries are not permitted to participate in the bidding process.

The evaluation of technical and financial bids will follow a 60:40 techno-commercial scoring system, with assessment based on parameters such as construction quality, project amenities, location, and pricing, among others, as stated in the document.

Estimated cost for the purchase of apartments

According to the tender document, SBI intends to purchase 50 units in each of the identified clusters.

In case of the central suburbs, the bank has earmarked ₹84 crore (excluding taxes) for the acquisition of 50 two-bedroom apartments. In the western suburbs, the estimated cost for 50 similar units is ₹108 crore (excluding taxes).

For the Thane–Kalyan belt, SBI has set aside ₹54 crore, while for the Kharghar–Panvel region, the estimated allocation stands at ₹48 crore, both excluding taxes.

According to the tender document, SBI plans to purchase 200 apartments along with 400 parking spaces, comprising 200 car parking and 200 two-wheeler parking slots.

The bank will consider only ready-to-move-in apartments with all requisite regulatory approvals and occupancy certificates (OCs) in place. Preference will be given to single-ownership projects with clear and marketable titles, and the entire transaction is expected to be completed within six months from the issuance of the Letter of Intent (LoI).

Are bulk deals common?

Bulk housing acquisitions are not uncommon in Mumbai’s real estate market, particularly among large public sector banks and government institutions, local brokers said.

They noted that SBI itself has previously purchased residential units for staff in areas such as Navi Mumbai and Andheri.

“Other institutions like Bank of Baroda, Union Bank of India, and LIC Housing Finance have also issued similar tenders for staff accommodation. Such organisations typically opt for outright purchases in key clusters to ensure long-term cost efficiency and ease of management,” said a broker who did not wish to be named.

According to local brokers, some banks historically built homes for their staff. However, due to land shortages, institutions now prefer buying ready apartments on the market.