The FSI was generated through a Slum Rehabilitation Authority (SRA) scheme on land in Mumbai’s western suburb Kandivali. The transaction, registered earlier this week, involved stamp duty of Rs 4.77 crore, showed registration documents accessed through CRE Matrix, a realty data analytics platform.
The development rights will not be utilised at the Kandivali location. Instead, the FSI will be transferred and utilised on a larger property in Khar (West), where Unnatam Properties is undertaking the redevelopment of two old housing societies. The project involves Bharatiya Bhavan Cooperative Housing Society and Anmol Cooperative Housing Society.
The acquisition will provide additional construction potential for the Khar redevelopment project, allowing the developer to utilise FSI generated through an SRA scheme at another eligible location.
“This transaction strengthens our society redevelopment project in Khar (west) and reflects our continued focus on strategic FSI acquisitions to create superior living spaces in Mumbai’s premium western suburbs,” said K. T. Jithendran, CEO, Birla Estates.
The wholly owned subsidiary of Aditya Birla Real Estate, recently forayed into the redevelopment market with its first project spread over 1.3 acres in Khar through a joint venture with a local real estate developer.
The Rs 159 crore consideration translates into approximately Rs 1.95 lakh per sq metre of FSI acquired.The transaction highlights the use of transferable development rights and additional FSI to augment construction potential in established Mumbai locations, where availability of developable land is limited.
Parinee Group declined to comment for the story.
The transaction comes as developers in Mumbai increasingly seek additional development potential to make redevelopment projects in established locations financially viable. FSI generated through rehabilitation schemes can be transferred, subject to applicable regulations and approvals, for utilisation on eligible receiving plots.
Such transactions enable development rights generated in one location to be utilised on another eligible property, helping augment construction potential in Mumbai’s established residential markets where developable land is constrained.
Birla Estates is the real estate development arm of the Aditya Birla Group and has a residential development portfolio across Mumbai and other major Indian cities.