Maharashtra government to buy Air India's building for Rs 1,600 crore
Real Estate

Maharashtra government to buy Air India's building for Rs 1,600 crore

Deputy chief minister Devendra Fadnavis had met Union civil aviation minister Jyotiraditya Scindia last year and urged him to give preference to the Maharashtra government in its attempt to sell the iconic Air India building at Nariman Point. Besides the state, the Reserve Bank of India (RBI) was said to be in the fray for the building.

The senior minister confirming a likely deal said: “We have been told that the AI Assets Holding, which owns the building, has in-principle agreed to give it to us. Finer details will be worked out but our offer is conditional. We were told offices of GST and the incometax department run out of there. Some floors are with the state-owned company and one of the floors houses art collections and other items. We will only go ahead with the deal if we get vacant possession, we don’t want to appoint a new agency to get the premises vacated, it will be very tedious. ”

Justifying the government’s push to acquire the property, the minister said: “If we get the building, we can save the rent the state government is paying right now. Several state offices are housed in private spaces across south Mumbai and is costing a huge sum every month.”

Ministerial offices can be shifted to the Air India building and all offices currently in private buildings can be accommodated in Mantralaya, said a senior official. “There are some plans to connect Mantralaya and the Air India building, but it is still at a discussion stage.”

AI officials had told thestate government that according to them, the valuation of the building was more than Rs 2,000 crore. “The government needs to recover dues from Air India to the tune of around Rs 300 crore,” pointed out the state official. After Fadnavis started talks for the building during his chief ministership, talks had resumed in 2021 under the MVA government, but no deal was finalised, added the official.

Also Read
80ft Master Plan road for Rs 63 mn giving relief to Tirupati residents
MoRTH to establish credit rating metric for private construction firms

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

Deputy chief minister Devendra Fadnavis had met Union civil aviation minister Jyotiraditya Scindia last year and urged him to give preference to the Maharashtra government in its attempt to sell the iconic Air India building at Nariman Point. Besides the state, the Reserve Bank of India (RBI) was said to be in the fray for the building. The senior minister confirming a likely deal said: “We have been told that the AI Assets Holding, which owns the building, has in-principle agreed to give it to us. Finer details will be worked out but our offer is conditional. We were told offices of GST and the incometax department run out of there. Some floors are with the state-owned company and one of the floors houses art collections and other items. We will only go ahead with the deal if we get vacant possession, we don’t want to appoint a new agency to get the premises vacated, it will be very tedious. ” Justifying the government’s push to acquire the property, the minister said: “If we get the building, we can save the rent the state government is paying right now. Several state offices are housed in private spaces across south Mumbai and is costing a huge sum every month.” Ministerial offices can be shifted to the Air India building and all offices currently in private buildings can be accommodated in Mantralaya, said a senior official. “There are some plans to connect Mantralaya and the Air India building, but it is still at a discussion stage.” AI officials had told thestate government that according to them, the valuation of the building was more than Rs 2,000 crore. “The government needs to recover dues from Air India to the tune of around Rs 300 crore,” pointed out the state official. After Fadnavis started talks for the building during his chief ministership, talks had resumed in 2021 under the MVA government, but no deal was finalised, added the official. Also Read 80ft Master Plan road for Rs 63 mn giving relief to Tirupati residents MoRTH to establish credit rating metric for private construction firms

Next Story
Infrastructure Transport

Noida Airport Fuels NCR Realty Growth

The start of commercial operations at Noida International Airport has recently emerged as a major trigger for real estate growth across Noida, Greater Noida and the Yamuna Expressway region. The airport is expected to improve regional connectivity and support the next phase of development in eastern NCR.The airport, inaugurated on 28 March, has begun passenger services, while cargo operations are also expected to strengthen its role as an economic and logistics hub. Its operationalisation is expected to reduce dependence on Delhi’s Indira Gandhi International Airport for residents and busine..

Next Story
Technology

thyssenkrupp and GlobalLogic Form AI Alliance

thyssenkrupp AG and GlobalLogic, a Hitachi Group company, have recently formed a strategic alliance to deploy autonomous robotics and Physical AI across heavy industry operations. The partnership aims to improve safety, reduce engineering bottlenecks and accelerate industrial transformation at scale.The alliance brings together thyssenkrupp’s industrial expertise with Hitachi’s innovation capabilities. It includes GlobalLogic, Method and Hitachi America R&D, creating a “Lab-to-Scale” pipeline that connects research, digital strategy, design and enterprise software engineering for i..

Next Story
Real Estate

Platinum Corp Launches Luxury Suites in Santacruz

Platinum Corp has recently launched Platinum Stellar: Bespoke Presidential Suites, a premium residential project in Santacruz West, Mumbai. The development is positioned as a boutique luxury offering for homebuyers seeking expansive layouts, privacy and personalised living experiences.Located on Main Avenue, the project has been designed as a low-density, high-end residential address with spacious homes starting from 2,500 sq ft and extending to full-floor residences. The project targets HNIs, business owners and legacy residents from the Bandra-Khar-Santacruz belt.Platinum Stellar has been de..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement