Mumbai's record land deal, now in Borivli

Mumbai: If you thought the most expensive commercial real estate in Mumbai was in Colaba and Nariman Point, this piece of information will come as a shock. A building near Borivli railway station has been sold at a whopping rate of Rs 1.5 lakh per sq ft for commercial purposes.

A prominent broker from Borivli told Mid-Day that Mangal Kunj complex has been sold at Rs 1.5 lakh per sq ft for commercial area and Rs 31,000 per sq ft for residential. Mangal Kunj comprises five buildings, and nearly 100 houses and shops, totalling an area of more than one lakh sq ft.

Kalpesh Shah, a real estate agent from western suburbs, confirmed, "Yes the Mangal Kunj deal has taken place. The prices are high because of the high demand of commercial space over here."

According to residents and brokers in the area, the property has been bought by a matka king, who is planning to give it up for redevelopment to some prominent builders.

One of the reasons why Borivli (W) is so popular is the number of shopping malls there. Aruna Shetty, a resident of Borivli said, "I prefer shopping here, because everything is available under one roof. The only problem is the crowd -- at any point of time, the shops are always filled."

Ramdas Mankodi, another real estate agent from the suburbs, is not surprised by the latest real estate deal. "I remember a year or two ago, the rate of commercial property over here was not less than Rs 1.10 lakh per sq ft," he said.

A former resident of Mangal Kunj said, "We have been trying to redevelop the complex for nearly three years now, but because of some problem or the other, we couldn't do it. However, now I heard the deal has almost been sealed." He justifies the high going rate of the building. "Our building is in a prime location. We are close to the station, and next to Indraprastha, one of the best shopping complexes in Borivli."

According to real estate experts, these are one-off deals and are not meant to reflect trends for all of Mumbai's real estate. "Borivli (W) is a prime location in terms of commercial real estate. This place cannot be compared to Parel, Lower Parel or for that matter any other locality. This deal shouldn't be looked upon as a trend, instead it's just a one-off deal," added another real estate expert.

Till now India's costliest real estate deal was at the Samudra Mahal building in Worli in April this year.  A duplex flat measuring  3,600 sq ft went for Rs 37.25 crore, at a rate of Rs 1.03 lakh per sq ft.