Land located at Koramangala was sold for Rs. 345 crore
Siemens Ltd. on Thursday announced the sale of a prime land in the city for around Rs. 345 crore to Prestige City Properties.
In a regulatory filing to the Bombay Stock Exchange, Siemens said the sale was part of “our continuous asset optimisation exercise.”
Sources with knowledge of the deal described it as one of the largest transactions in Bangalore. The land in Koramangala, a prime area of the city, is over 8.5 acres. It is close to Forum Mall, a source said, adding that Prestige was considering mixed use development, a landmark project, with residential apartments also. The real estate firm was expected to plan the development as early as possible.
Industry sources say the deal is a pointer to the availability of such large land parcels in the heart of the city. According to Farook Mahmood, chairman and managing director of Silverline Realty, and president of FIABCI (World Council of Brokers), it is a sizeable deal. A few more such transactions are in the pipeline in Bangalore as the land on which factories once stood are available for sale. It is a situation similar to that of Mumbai where large tracts of land belonging to the mills were sold.
The Siemens land sale shows the potential of developers to get into such high value deals. It speaks volumes about the buoyancy in the market. Developers are also keen to enter into such deals. Mr. Mahmood added that one more such big deal is on the anvil on Bellary Road.
Suresh Hari, secretary of CREDAI, said it is one of the biggest deals from the perspective of land size in the heart of Bangalore.