The iconic Air India building in Mumbai has found a new owner as the Centre approved its sale to the Maharashtra government for INR 1,601 crore. This decision follows the Maharashtra Cabinet's earlier approval of the acquisition in November of the previous year. With the state facing space constraints at Mantralaya and its annex, the move to acquire the 23-story sea-facing building near the secretariat aims to address this issue, especially with nine vacant floors available for utilization.

Originally constructed in 1974 on reclaimed land leased by the state and designed by architect John Burgee, the Air India building served as a significant landmark in Nariman Point. Despite being excluded from Air India's privatization, the property became part of AIAHL's assets, a government firm created for managing the airline's non-core assets and debts. Talks for its sale began in 2018, with Maharashtra government's recent increased offer of INR 1,601 crore, accompanied by waivers of around INR 300 crore in dues, facilitating the acquisition process.

The acquisition not only resolves the long-standing administrative space issues faced by the Maharashtra government but also presents an opportunity for the redevelopment of a Mumbai icon. With approximately 46,470 square meters of space becoming available in close proximity to Mantralaya, the move is poised to streamline government operations while preserving the historical significance of the building. Despite the sale price being lower than Air India's initial expectations, the transaction ensures the continued public service of the building as a government facility, showcasing a financially prudent solution to address practical concerns and safeguarding Mumbai's urban heritage for future generations.

Source: www.propnewstime.com

Back to All Thane Real Estate News

To Get More Information About Properties in Thane City Or Call us On 9930011453 or Email us On info@propertythane.com

Share This: