Unitech sells 50 per cent stake in part of Mumbai project to Lehman Brothers for Rs760 crore

16 June 2008

Mumbai: Real estate major Unitech Ltd has agreed to sell 50 per cent stake in the first phase of a Mumbai project to Lehman Brothers Real Estate Partners for Rs760 crore ($175 million).

Unitech, along with a local partner in the Western Expressway JV, is developing one million sq ft of office space in Bandra-Kurla complex, in central Mumbai, in the initial phase of the project.

Lehman Brothers Real Estate Partners and Western Expressway JV will now contribute 50 per cent each of the project cost.

The project is for about 18 million sq ft development which would take eight-nine years to develop. Lehman is putting in Rs760 crore of capital in the initial one million sq ft, with commitment towards further cooperation over time.

New Delhi-based Unitech owns 50 per cent of the entire 18 million sq ft project and the total value of the project is little over Rs13,000 crore.

Unitech, which entered the Mumbai market late last year, said the project included residential, retail and hotel units.