Godrej properties to enter into redevelopment transaction in South Mumbai

By | July 20, 2010

Godrej Properties, the Adi Godrej-led real estate venture, is ready to finish a redevelopment transaction in south Mumbai in this quarter, sources say.

Moreover its land transaction with Jet Airways at Bandra Kurla Complex, which was supposed to end on July 15, has now been increased up to the end of the month, sources say.

A source in know of to the deal said, “Jet has to get an additional floor space index of 9.5 then only would Godrej go ahead with the deal. The deal is quite complexly structured. The global FSI available at BKC is lower, but if the project has to be viable they need more FSI as the land is quite expensive.”

Godrej Properties intends to begin construction at its Vikhroli land plot of 35 acre (2.9 million square feet (msf)) in the final quarter of this fiscal, according to Milind Korde, MD.

In case of the Vikhroli land, Godrej & Boyce, a group firm, will first get the yearly lease and then the profits would be divided between Godrej Properties and Godrej Industries in 60% :40% ratio.

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