Sunteck Realty secures Rs 1,100-crore redevelopment project in Mumbai's Andheri
(You can now subscribe to our
(You can now subscribe to our Economic Times WhatsApp channel
Listed realty developer Sunteck Realty has secured rights to redevelop a housing society spread over a 2.5-acre land parcel in Mumbai's western suburb of Andheri east, through a society-led redevelopment agreement, with expected revenue potential of around Rs 1,100 crore.The project is expected to hold a total construction and development potential of over 1 million sq ft, including 275,000 sq ft of free sale component, said persons with direct knowledge of the development.The company is currently working on approvals and the construction is expected to commence following the formal handover of the site by the society, with completion targeted within 36 to 48 months thereafter.The project's total investment is expected to be around Rs 750 crore including construction cost, floors-space index premium, rentals and corpus to the society. The developer is likely to fund the entire development through internal accruals.Originally established by LIC employees, the society comprises a total 11 buildings, construction of which was completed in 1968. The society was built entirely on an ownership basis by LIC staff.'The company has recently signed the 79 A agreement with the housing society and is currently working on the further planning of the project,' said one of the persons mentioned above.An agreement with the housing society under Section 79 A of the Maharashtra Co-operative Societies Act , 1960 requires majority consent of members before finalizing redevelopment plans. This means the society and the developer have agreed to follow a structured process that emphasizes transparency, member rights, and legal protection.On Thursday, Sunteck Realty informed the stock exchanges about securing the rights for redevelopment of this housing society. ET's email query to the company seeking further details of the development agreement remained unanswered until the time of going to press.Real estate projects involving the redevelopment of old housing societies and rehabilitation are the mainstay of the Mumbai region's property market, as the land-starved city and its peripheral areas have few vacant land parcels.In 2023, the government of Maharashtra stated that a member of a housing society that undergoes redevelopment need not pay stamp duty on the allotted permanent accommodation as part of the project.Following this, the member of the housing society undergoing redevelopment is expected to pay only Rs 100 as stamp duty, while the principal agreement between the development and the housing society will be charged as per the conveyance.The state government's decision and ongoing buoyancy in the property has been playing a key role in pushing the redevelopment of many old and dilapidated housing societies across key cities in the state.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Indian Express
23 minutes ago
- Indian Express
NITI Aayog conducting evaluation study of MGNREGS, minister tells LS
THE NITI Aayog, the government's premier think tank, is conducting an evaluation study of the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), the government informed the Lok Sabha on Tuesday. In a written reply to a question, Union Minister of State of Rural Development Kamlesh Paswan informed the House that the Development, Monitoring and Evaluation Office (DMEO), NITI Aayog, has recently taken up the evaluation study of the scheme. The development is significant as it comes at a time when the Ministry of Rural Development has circulated a proposal seeking approval of the Expenditure Finance Committee (EFC) for continuation of MGNREGS and an outlay for Rs 5.23 lakh crore till financial year 2029-30, a period that coincides with the next Finance Commission (16th) cycle. The EFC is a central body that appraises government schemes and projects; it comes under the Ministry of Finance. Replying to a question by CPI(ML)L member Sudama Prasad, Paswan said, 'The Internal Audit Wing (IAW) under the Office of the Chief Controller of Accounts (CCA) has been conducting Risk-Based Internal Audits of MGNREGS implementation in states since FY 2013-14… Risk-Based Internal Audits of MGNREGS have been conducted in 225 districts of 30 states/UTs since 2013-14.' 'Further, Amarjeet Sinha Committee was constituted in 2021 to examine various factors affecting demand for wage employment in the rural sector in different parts of the country and to study/analyse the trends of expenditure across states under MGNREGS along with reasons for inter-state variations with specific focus on governance issues. The report of the Committee has since been received and some of the recommendations have been identified for appropriate action,' Paswan said, sharing details of the internal audits and review of the MGNREGS conducted in recent years. 'In addition to this, DMEO, NITI Aayog, too has recently taken up an evaluation study of MGNREGS,' he said. The NITI Aayog conducted the last evaluation study of the MGNREGS in 2019-20. At the time, the think tank had also conducted the evaluation study of five other schemes. 'The study focused on the effectiveness, efficiency, impact, and sustainability of these schemes, including the MGNREGS, to gauge their overall contribution to the national rural economy,' Paswan said. The evaluation study by NITI Aayog is crucial for getting approval of the EFC, said a source. The Ministry of Finance has told all ministries and departments that no Centrally Sponsored Scheme (CSS) or Central Sector Scheme (CS) will be considered for continuation beyond March 31, 2026, unless a third-party evaluation of the scheme is carried out. Sources say that the EFC approval and appraisal is part of the Centre's exercise to evaluate and approve its schemes for the next Finance Commission cycle. The MGNREGS is backed by law and therefore the EFC approval is just a formality. Harikishan Sharma, Senior Assistant Editor at The Indian Express' National Bureau, specializes in reporting on governance, policy, and data. He covers the Prime Minister's Office and pivotal central ministries, such as the Ministry of Agriculture & Farmers' Welfare, Ministry of Cooperation, Ministry of Consumer Affairs, Food and Public Distribution, Ministry of Rural Development, and Ministry of Jal Shakti. His work primarily revolves around reporting and policy analysis. In addition to this, he authors a weekly column titled "STATE-ISTICALLY SPEAKING," which is prominently featured on The Indian Express website. In this column, he immerses readers in narratives deeply rooted in socio-economic, political, and electoral data, providing insightful perspectives on these critical aspects of governance and society. ... Read More
Time of India
43 minutes ago
- Time of India
PSUs shouldn't behave like Shylock to become money-minded: SC
NEW DELHI: Supreme Court has said that public sector units should not be guided only by commercial interests for making money like a private company but their conduct must be like a model citizen and came down on Gujarat Urja Vikas Nigam Limited (GUVNL) for behaving like "Shylock" and getting into unnecessary litigation on tariff against wind power producers in Gujarat from which it purchases power. A bench of Justices Sanjay Kumar and Satish Chandra Sharma rejected the plea of GUVNL which contended that tariff rate of Rs 3.56 per kWh as mentioned in power purchase agreements (PPAs) was binding on the four power generating companies. The court said govt has been promoting renewable energy to reduce carbon footprint and to make the country energy self-sufficient and less dependent on fossil fuels and GUVNL should be mindful of the policy. The PSU took the stand that these wind energy projects had willingly entered into PPAs with it, binding themselves to the tariff rate of Rs 3.56 per kWh, and were, therefore, not at liberty to seek determination of tariff on a case-to-case basis thereafter, a plea which was rejected by the SC. "GUVNL cannot be guided only by its own commercial interests, like a private business entity and it's conduct, as a state-instrumentality, must be of the standard of a model citizen. However, patently unfair treatment was sought to be meted out by GUVNL to the respondent companies by binding them to a rate that was wholly inapplicable to them. Such conduct, akin to a Shylock, does not reflect positively upon GUVNL," the bench said.
Time of India
an hour ago
- Time of India
ED quizzes Anil Ambani for 8 hours in laundering case
NEW DELHI: Reliance Group chairman Anil Ambani was on Tuesday asked about his foreign assets and other transactions, both in India and overseas, during his more than eight hours of questioning at Enforcement Directorate headquarters here, in connection with a money laundering investigation against his group entities. Sources said Ambani's questioning is likely to continue and he may be called for another round in a few days. ED had conducted searches on at least 35 premises in Mumbai linked to the industrialist on July 24-27, covering at least 50 entities and 22 individuals, during which the agency had seized several documents and digital records. Today the Ambani's statement was recorded & during examination, various questions pertaining to loan transactions were put to him. Ambani has sought seven days to furnish the requisite details and supporting documents, sources said. The agency is probing alleged round-tripping of funds and related party transactions, some of them linked to Reliance Infrastructure, which had allegedly received funds from entities not disclosed earlier. The investigation also includes irregularities pointed out by Sebi and a forensic audit of Reliance Home Finance Ltd (RHFL), in particular "loans of more than Rs 12,000 crore" extended to various group entities. These companies had a common registered address, email ID/domain, address and directors. The Reliance Group has contested the amount of loans extended. A report released by Sebi had noted that as on Sept 30, 2021, Rs 6,931 crore had been declared as NPA/written off by RHFL out of loans extended to linked/associated entities of the Ambani group. A spokesperson for Reliance Anil Dhirubhai Ambani Group had, however, denied allegations of money laundering & said that "the account of RHFL has been fully resolved with change in management pursuant to the judgment of the SC in 2023... Allegations of other irregularities are sub judice and as a matter of fact, Sebi order has been challenged before SAT since 2024". The agency is also probing Ambani and his entities in a loan fraud of Rs 3,000 crore received from Yes Bank where he is alleged to have bribed the bank's former CEO Rana Kapoor for Rs 225 crore. Reliance Communication and its loan default of Rs 1,050 crore to Canara Bank is another investigation related to the group.
