Bhaane Retail acquires iconic Rhythm House in insolvency auction
Real Estate

Bhaane Retail acquires iconic Rhythm House in insolvency auction

Bhaane Retail, a subsidiary of India’s largest apparel manufacturer Shahi Exports, has successfully acquired the iconic Rhythm House in South Mumbai's Kala Ghoda through an insolvency auction. Bhaane’s winning bid of Rs 300 million secures ownership of the historic music store, which had closed in 2016 after nearly seven decades of operation.

Once a cultural landmark frequented by music lovers and Bollywood stars like Kishore Kumar, Shammi Kapoor, and AR Rahman, Rhythm House was later acquired by fugitive diamond merchant Nirav Modi in 2017 through his firm Firestar Diamond for Rs 320 million. Modi had planned to convert the space into a luxury jewelry showroom. However, the property was seized by the Enforcement Directorate (ED) in 2018 amid investigations into the Punjab National Bank (PNB) scam, where Modi was implicated for defaulting on Rs 65 billion in loans through fraudulent letters of undertaking (LOUs).

Following a 2020 National Company Law Tribunal (NCLT) order for liquidation, the ED released Rhythm House to allow banks to auction the property and recover dues. The ED has seized assets worth Rs 26 billion from Modi so far.

A spokesperson for Bhaane Retail confirmed the acquisition, stating, "We have completed our due diligence and plan to expand our retail footprint in the city." While financial details of the bid remain undisclosed, property consultants estimate the location could command lease rentals of ?900-1,000 per sq. ft. per month due to its prime location and cultural significance.

Rhythm House, spanning 16,000 sq. ft. with ground and mezzanine floors, holds retail and storage space. Global celebrities like Pandit Ravi Shankar, Zakir Hussain, and members of the band The Police were among its visitors. Despite attempts to adapt by diversifying into electronic accessories and video games, the store closed in 2016, succumbing to challenges from digital technologies and piracy.

Shahi Exports' promoter family recently made headlines with their purchase of an eight-storey residential property in London’s Notting Hill for $27 million.

(ET)

Bhaane Retail, a subsidiary of India’s largest apparel manufacturer Shahi Exports, has successfully acquired the iconic Rhythm House in South Mumbai's Kala Ghoda through an insolvency auction. Bhaane’s winning bid of Rs 300 million secures ownership of the historic music store, which had closed in 2016 after nearly seven decades of operation. Once a cultural landmark frequented by music lovers and Bollywood stars like Kishore Kumar, Shammi Kapoor, and AR Rahman, Rhythm House was later acquired by fugitive diamond merchant Nirav Modi in 2017 through his firm Firestar Diamond for Rs 320 million. Modi had planned to convert the space into a luxury jewelry showroom. However, the property was seized by the Enforcement Directorate (ED) in 2018 amid investigations into the Punjab National Bank (PNB) scam, where Modi was implicated for defaulting on Rs 65 billion in loans through fraudulent letters of undertaking (LOUs). Following a 2020 National Company Law Tribunal (NCLT) order for liquidation, the ED released Rhythm House to allow banks to auction the property and recover dues. The ED has seized assets worth Rs 26 billion from Modi so far. A spokesperson for Bhaane Retail confirmed the acquisition, stating, We have completed our due diligence and plan to expand our retail footprint in the city. While financial details of the bid remain undisclosed, property consultants estimate the location could command lease rentals of ?900-1,000 per sq. ft. per month due to its prime location and cultural significance. Rhythm House, spanning 16,000 sq. ft. with ground and mezzanine floors, holds retail and storage space. Global celebrities like Pandit Ravi Shankar, Zakir Hussain, and members of the band The Police were among its visitors. Despite attempts to adapt by diversifying into electronic accessories and video games, the store closed in 2016, succumbing to challenges from digital technologies and piracy. Shahi Exports' promoter family recently made headlines with their purchase of an eight-storey residential property in London’s Notting Hill for $27 million. (ET)

Next Story
Technology

BBMP Pledges Faster E-Khata Processing Amid Citizen Complaints

Facing mounting complaints over delays in e-khata issuance, the Bruhat Bengaluru Mahanagara Palike (BBMP) has promised to resolve the issue within 10 days. BBMP Chief Commissioner Tushar Giri Nath assured citizens that efforts are underway to expedite processing rates from the current 2,000 to a target of 10,000–15,000 applications daily. "We have cleared 90% of the 90,000 pending applications, leaving only 4,500 to process. To meet the demand, over 800 additional staff and assistant revenue officers (AROs) have been deployed to manage applications in each ward," Nath stated. Persistent Dela..

Next Story
Real Estate

Delhi HC Orders DDA to Assist CBI in Housing Lapses Probe

The Delhi High Court has instructed the Delhi Development Authority (DDA) to fully cooperate with the Central Bureau of Investigation (CBI) in its probe into alleged lapses in the construction of 336 high-rise HIG/MIG houses at Signature View Apartments, north Delhi. Justice Chandra Dhari Singh emphasized that DDA must furnish information about any internal inquiry and the officials involved to facilitate the investigation. The court noted CBI’s submission that DDA had not responded to multiple reminders since July, delaying the probe. The CBI is investigating allegations of "cheating, crimi..

Next Story
Infrastructure Urban

Mahindra Lifespace to Appeal Tamil Nadu GST Tax Demand

Mahindra Lifespace Developers Ltd has announced a tax demand of Rs 20.9 million imposed by the Tamil Nadu GST department, including interest and penalties. The order, issued by the Assistant Commissioner of State Tax, Chengalpattu, cites an alleged shortfall in GST payments under Section 74 of the GST Act, 2017. The realty firm refuted the allegations, stating, “Based on the company's assessment, there is no noncompliance, and a general penalty has been imposed.” The company plans to appeal the order, expressing confidence in a favorable resolution. Mahindra Lifespace assured stakeholders ..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000