Mega deal inked for township in Panvel

Srini Gopalan,chief financial officer,said the deal doesn’t involve any financial transaction. Instead,the developer will hand over 10 million sq ft of constructed space to GFH. “It works out to about 11 per cent of the total 80-90 million sq ft of proposed development,” he said.

Located 15 km from the Navi Mumbai airport and near the Jawaharlal Nehru Port Trust,the land was bought by GFH for $1 billion.

Real estate analysts said current market regulations don’t allow the bank to exit the deal by selling the land outright to the developer. The land was earlier meant to be developed into a global logistic park by Mumbai-based Valuable group along with GFH.

Last year,Newsline had reported about how the state Urban Development Department had converted 115 hectares of green zone 2 in Raigad district to urbanisable zone to make way for the project.

According to the rules,only agriculture and related activities are permitted in such zones that are mostly in the command areas of irrigation or catchment areas of water resources.

Another 74 hectares falling in the agricultural zone was converted into residential zone for the project.