L&T Realty forays into Chennai commercial market – ET RealEstate

BENGALURU: L&T Realty is betting on the southern commercial market, as the real estate unit of engineering conglomerate Larsen & Toubro plans to launch its maiden office project in Chennai.

The 6.85 million sq ft project will be developed in four-five phases, two people aware of the matter said. “In the first phase, L&T Realty will develop around 1.2 million sq ft that is expected to be completed by 2022,” said one of them.

The project will also have a million sq ft of residential development space.

The project is coming up on a 40-acre plot in the IT hub of Chennai that was owned by group company, L&T Valves, which was shut down a few years ago.

L&T Realty has received pre-leasing enquiries from global IT firms, the people said.

“In the Chennai market, Grade A Space is completely leased out. The L&T management is also extremely bullish on their Chennai project as it is strategically located at Porur with good availability of IT talent,” said the second person.

L&T Realty is present in West, South and North India with many residential, commercial and retail projects.

Commercial property market in Chennai, mainly occupied by IT and BFSI firms, has seen top builders like TRIL, Embassy, Brigade, RMZ, K Raheja and DLF expanding their office portfolio to tap the growing demand for Grade-A space.

Despite the overall economic slowdown, Chennai’s commercial real estate remained resilient in 2020.

Recently, Walmart Labs leased 250,000 sq ft in Chennai. BNY Mellon, which took 600,000 of sq ft, was another company that recently leased office space in the city.



Source link

Naigaum BDD residents want L&T to revive redevelopment project – ET RealEstate

MUMBAI: A section of residents of Naigaum’s BDD chawls passed a resolution on Monday to request Mhada to get Larsen & Toubro (L&T) to withdraw its termination notice.

The meeting was called by the local Naigaum Bhavani Mata Mitra Mandal, and the plea was to set aside political ideologies and restart the project, said Bhai Kamble of Akhil BDD Chawl Hakk Sanrakshan Samiti.

Mhada officials said Mumbai housing board CEO Radhakrishnan B, who was recently transferred, had already held a meeting with L&T officials requesting them to withdraw the notice and stay with the project for at least a year. “The company representatives were told that they cannot issue a unilateral termination notice,” said a Mhada official.

The notice has been forwarded to the state housing department. The decision on whether to accept or reject it will be taken by the empowered committee of secretaries, said state officials.

The housing department is worried the Worli and N M Joshi Marg BDD chawl redevelopment projects may meet with a similar fate as there too no construction has started yet.

In case of N M Joshi Marg, though, 10 chawls that are to be taken up for redevelopment have been surveyed and 607 tenants have been found to be eligible; the process is underway for the others.

“Around 269 residents have also been shifted to transit tenements in the nearby mill areas,” said a Mhada official.

Sources said they have received massive cooperation from tenants of the Worli BDD chawls. “So far, we have surveyed 1,120 tenants and found 762 eligible. We were to sign agreements for transit tenements but it has been delayed due to the Covid-19 pandemic,” said an official.

Local activist Raju Waghmare said Mhada should take up construction under 33(5) of the Development Control Rules applicable to Mhada buildings as the land has already been handed over to it. “If that is done, then residents will get homes measuring as much as 680 square feet,” he said.

Mhada officials alleged residents are being instigated to oppose the public project as there is a certain section that wants private developers to take over the project. “A majority of the tenants are in favour of the project. They must come together and openly support it. We are providing tenants 500-sq-ft homes as against the current 160-sq-ft tenements, besides other amenities. The project will become economically unviable if tenants keep making unfeasible demands.”



Source link

Mumbai: L&T bows out of Naigaum’s BDD chawls redevelopment project – ET RealEstate

MUMBAI: Construction firm Larsen & Toubro that had bagged the contracts to redevelop Naigaum and Worli BDD chawls has decided to withdraw from the Naigaum project.

“The government failed to fulfil its commitment of moving out the tenants and handing over the land to the company for redevelopment. Hence, the company has sought to withdraw from the project,” said a state government official. An L&T spokesperson declined to comment.

In 2017, L&T had bagged the Naigaum project in Dadar and the one at Worli a year later.

The Naigaum project was estimated to cost Rs 2,400 crore and was to be completed within seven years in three phases. With no movement on the ground and escalating project cost, the construction firm thought it best to pull out, said the official.

The then BJP-Shiv Sena government had promised 500-square-foot homes to each eligible tenant. The project announcement caused discord within several families residing in these tenements. There was opposition to the survey of tenants as family members who had moved out of these tiny 10-by-20-sq-ft tenements protested about their names not being included in the eligible list. Though Mhada had allotted them transit accommodation, residents were reluctant to move out as the government had failed to sign agreements assuring them of 500-sq-ft tenements each.

When it was launched amid much fanfare, the BDD chawls redevelopment project was touted as a game-changer that would not only change the face of Naigaum and Worli but provide residents of the chawls with bigger, elegant and very comfortable houses. Talk about the project gained further momentum after a’model flat’ was constructed, again amid much fanfare. But it is clear the project has proved to be anon-starter like the Dharavi slum project because the government has not done the real substantive work that goes into making such big projects successful. A more methodical and serious approach could still revive it, though.TimesView

L&T had constructed a sample flat at the site so residents would be encouraged to allow the redevelopment. In the first phase, 10 chawls comprising 800 tenements were to be redeveloped.The Naigaum plot is spread over 13.4 acres and the gross construction area was estimated at 6.7 lakh sq metres or 165 acres.

Mhada had tentatively planned to build four sale buildings with 60 floors each at Naigaum. The authority had also proposed a 20-storey commercial structures, besides 20 buildings with 19 to 23 floors to house the existing tenants of the Naigaum chawls.

The BDD chawls redevelopment was first proposed in 2009 but it has failed to take off. It meets the same fate as the ambitious Dharavi redevelopment project that has been hanging fire for nearly two decades.

There are four clusters of BDD chawls in Mumbai, at Naigaum, N M Joshi Marg, Worli and Sewri. The Naigaum and Worli projects were bagged by L&T while the Tata group had bagged the N M Joshi project.

Worli is the largest cluster. Sewri is the smallest. It is on Mumbai Port Trust land. Both the state government and Mhada had written to the Centre seeking permission to carry out redevelopment of the chawls.



Source link