The Anil Ambani-owned Reliance Communications (RCom) on Monday announced that the company has sold nearly 150 residential flats situated at the NRI complex at Seawoods in Navi Mumbai for Rs 330 crore, or a tenfold growth over its initial investment of Rs 32 crore in 2002. At the time of purchase, Reliance was yet to be divided between the Ambani brothers, Mukesh and Anil.
“The flats were sold to individuals through brokers at prices ranging from Rs 1.75 crore to Rs 3 crore at Rs 15,000 to Rs 17,000 per square feet (psf), which is below the prevailing market rate of Rs 18,000-20,000 psf in the Seawoods complex,” said a Navi Mumbai-based broker.
The company expects to finalise plans soon for monetisation of real estate admeasuring nearly four acres at a prime location near Connaught Place in New Delhi. This move is part of Reliance Group’s plans to monetise its surplus land banks to pare debt by generating surplus cash to the tune of $1.5 billion or Rs 10,000 crore.
“The New Delhi commercial property is the Reliance Centre, Delhi (RCD). It is the erstwhile Ranjit Hotel property near Connaught Place, valued at around Rs 650 crore. The company is likely to sell more residential units in Mumbai and Navi Mumbai and commercial properties in Kolkata soon,” said a source.
In 2013, Reliance Group roped in Chinese real estate major Dalian Wanda Group owned by China’s second-richest individual, Wang Jianlin, whose personal wealth exceeds $37 billion, to develop 20 million square feet at its corporate headquarters at Dhirubhai Ambani Knowledage City (DAKC) in Navi Mumbai and new business district projects in Hyderabad.
Monetisation programme
“The disposal marks the commencement of RCom’s monetisation programme for surplus real estate owned by the company. The sale consideration for the disposal of the flats at Navi Mumbai has been finalised at over Rs 330 crore,” said a company statement, adding that RCom has already received more than 50 per cent of the sale proceeds. The balance amount will be realised during the current financial year, upon completion of documentation, currently under way.
The 135-acre DAKC property is owned by the group’s flagship firm Reliance Communications while an 80-acre property in Hyderabad is owned by Reliance Infrastructure. Reliance Group and Wanda Group are likely to develop these properties as equal joint venture partners.
The priority of the proposed JV will be to develop integrated township projects in India
