L&T Inks Major Real Estate Deal in MMR, To Develop 31.25L Sq Ft Plot

In what could be one of the major real estate deals in Mumbai Metropolitan Region, L&T Parel Projects Ltd has agreed to develop a plot measuring 31.25 lakh sq ft (49,386 sq mtr) at Pachpakhadi in Thane. L&T entered into an agreement with Jagdale Infrastructure Pvt Ltd to develop the said plot. The total RERA area to be developed is 31.25 lakh sq ft while the total rehab area to be developed will be 12.7 lakh sq ft.

As per notification dated October 26, 2017, the land has been declared as slum rehabilitation area under the provisions of Section 3C(1) of the Maharashtra Slum Area (Improvement, Clearance and Development) Act, 1971.

The developers would jointly develop the above project land having minimum developmental potential of RERA carpet area of 31.25 lakh sq ft. While the total agreement value is Rs 697.67 Crore, the stamp duty paid is Rs 34.88 Crore, according to the documents accessed by CRE Matrix, a real estate data analytics firm.

The Slum Rehabilitation Authority (SRA), vide the company’s letter of intent dated December 7, 2022, has approved the appointment of L&T Parel Projects Ltd as the developer of the said land under the provisions of the Slum Act and the relevant regulations of the UDCPR.

As per the agreement and the mutual responsibilities besides project obligations of the parties, the efforts, expertise and costs incurred and invested, apart from that to be incurred and invested hereafter respectively by the parties in relation to the complex, it is agreed that the developer shall be entitled to receive 31% of the net revenues.

Similarly, the agreement stated that L&T shall have, hold and be entitled to receive 69% of the net revenue, arising out of the aggregate premises for L&T’s absolute and beneficial use as L&T may deem fit and proper.

Published on: Wednesday, May 22, 2024, 08:56 PM IST