BPTP a real estate giant of Delhi NCR is in the process of selling its 20 acre land bank adjacent to the Dwarka Expressway to another real estate giant Godrej Properties. As confirmed by the reliable source “This deal is valued approx Rs. 350 Crore and both the companies are in the final stages of the deal.
BPTP Gourp is likely to use a part of the funds received from this land deal to pay back JP Morgan Chase as the settlement in a dispute over the bank leaving from its investment in the company and some part of the money will be paid to Citi too.
This real estate developer is also in the process of selling a 25-acre of a land band in Hyderabad worth Rs 250 Crore to manage old debts. BPTP Group plans to sell some of the noncore assets to raise funds to deal with many business requirements.
This is one of the few deals where Godrej Properties is buying complete land bank on the outright basis for the construction of projects. Normally this real estate developer prefers to joint agreements to undertake developments than buying plots on the outright basis.
A few months ago, Godrej Properties ventured into the Noida Real Estate Market with a development management agreement to construct a residential project on 36 acres of land. This is the first residential project of Godrej Properties in Noida, and sixth in NCR.
Last year, BPTP decided to take over CPI's shareholding and JP Morgan's shareholding worth Rs. Rs 333 Crore & Rs 360 Crore respectively which are payable over a period of time. In 2006, this real estate developer also gained Rs. 322 Crore from CPI India (a Citigroup fund), now controlled by Apollo Management, by selling 5.67% equity stake in the company. In 2008-09, this real estate developer also gained Rs. 241 Crore in two rounds of funding from a subsidiary of JP Morgan Chase group of companies by selling 6.21% stake.
