Real estate News India : Three plots in Kharghar and two in Ulwe fetched Cidco Rs 260 crore when bids were opened on Tuesday.
Market sources said the quotes were high compared to the reserve price. They expressed surprise that builders bid astronomical rates at a time when the real estate market in Navi Mumbai is slack.
In Kharghar, Cidco had set a reserve price of Rs 30,000 per sq m but the bids were several times higher. For instance, in sector 23, an 8,800 sq m received the highest bid of Rs 1.7 lakh per sq m (Rs 151 crore) for the residential-cum-commercial plot. The winning bid was by a local construction company, Bhagwati Group.
Another plot in Kharghar’s sector 2, received the highest bid of Rs 1.05 lakh a sq m for the 1,148 m plot. It works out to Rs 12 crore for the residential plot and was won by a local builder, Keystone Developers.
In sector 15, a 1,555 a sq m commercial plot received the highest bid of Rs 1.22 lakh per sq m or Rs 19 crore. The highest bidder was Bharat Construction.
In Ulwe, where the new airport is planned, a 2,830 sq m commercial plot in sector 19 fetched Rs 42.5 crore or Rs 1.50 lakh a sq m. Cidco had set a reserve price of Rs 22,000 a sq m. The winning bidder was Shagun Enterprises. Another commercial plot in sector 19, (4,930 sq m) received the highest bid of Rs 70,000 per sq m (Rs 34.5 crore). It was bagged by Varun Enterprises.
“These rates are very high considering that these areas are yet to be developed. Builders are paying a high price despite the liquidity crunch and a slow market,” said a local property expert.