Panchshil Realty is considering a joint partner for the development of the 125 acre of land owned by Reliance Communications Limited or Rcom at Navi Mumbai. This is the land parcel where the Dhirubhai Ambani Knowledge City is located. Reliance Communications is looking for ways to pare rising debt and is in the process of inking this deal for development with Panchshil Realty.
The company led by Anil Ambani, had sought prospective bids for either total purchase or joint development of this land where the Dhirubhai Ambani Knowledge City is located. Reliance Communications is looking to use this major land asset as part of the bigger plan for restructuring and repaying debt worth approximately Rs. 45, 000 crore.
The company had previously announced that development of this land may help it raise up to a whopping Rs. 10, 000 crore. Panchshil Realty is backed by Blackstone and is now considering another developer for this project. Approximately 10 million sq. ft. will be developed as part of the first phase with retail zones and an IT Park as per reports. This will take anywhere between 3-4 years and should entail investments of Rs. 3, 500 crore. The plot offers around 20 million sq. ft. of area which can be developed. Just 1.8 million sq. ft. has been developed till date.
DAKC also has several buildings of offices along with helipads, residential zones and a guest house with 250 rooms. Reliance Communication had previously seen interest from several companies like Wadhwa Group, RMZA Corp and Raheja Group along with Brookfield and KKR among other big private equity organizations. The area near DAKC is now a major IT and commercial zone and the Mindspace IT Park built by the Raheja Group is also nearby.
The area is already growing with regard to demand for commercial and residential projects. With more demand, real estate developers are eyeing the commercial sector in this stretch.
