City’s costliest deal for a flat sealed at Rs 2.09 lakh per sq ft

City businessman, who bought the flat in Ashford Palazzo, paid Rs 2.25 crore as stamp duty; his wife, too, owns an apartment in the same building.

At a time when the real estate market is reeling under multiple pressures, a South Mumbai property has been sold for Rs 2.09 lakh per square feet. The deal, which was registered on August 9, saw a 2,152 sq feet flat on Bhulabhai Desai Road go for Rs 45 crores. The property that offers an unobstructed view of the Arabian Sea has been bought by Ranjit Malhotra of Empire Industries.

Ashford Palazzo, the 19-storey structure that houses the apartment, has only 12 habitable floors, with one flat per floor. The building comes with six levels of parking, a gymnasium, banquet hall, children’s play area and a service floor.

Malhotra, who is the vice chairman of Empire Industries, has bought an apartment on the ninth livable floor or the 16th storey. According to the registered agreement, the built up area of the flat is 2,152 square feet, while the carpet area is 1,585 square feet.

Ranjit Malhotra’s wife Uma Malhotra has also bought an apartment on the eighth habitable floor of the same building. Her deal, too, was inked on the same day. She bought the flat on the 15th storey of the building for Rs 45 crore. Her flat’s built up area is 2,690 square feet while the carpet area is 2,168 square feet.

On both the purchases, the Malhotras have paid Rs 2.25 crore stamp duty over and above the base price. Each flat comes with four parking lots.

Ranjit and Uma Malhotra are directors in Empire Industries. Uma runs a school for underprivileged children. Ranjit is an MBA from the University of Texas. The couple currently owns an apartment in Tahnee Heights, in South Mumbai.

This is the costliest flat sold so far in Mumbai. In the past Mumbai has witnessed deals around Rs 1.60 lakh per square feet. Last year, owners of Jindal Drugs bought the 37th, 38th and 39th floors in Lodha Altamount, a luxury building on Altamount Road for Rs 220 crores, pricing it at Rs 1.60 lakh per square feet.

A few years before that, city businessman Shyam Jatia bought an apartment spread over 6,320 square feet in Carmichael Residences for Rs 90 crore. With duties, taxes and other charges, the flat cost the former chairman of Pudumjee Industries Rs 99.78 crore. Prior to that, actor Ranbir Kapoor bought a 2,469.60 sq ft apartment for Rs 35 crores in Pali Hill.

Experts believe the deal is not an indicator of the market as it stands today. The real estate market in Mumbai has been hit post demonetisation. RERA and GST have only slowed down the market. Pankaj Kapoor of Liases Foras, a real estate research company, pointed out that the deal is not be seen as the price paid for the property, but for the setting that the project has to offer. “There aren’t too many projects that will offer you all that this project has to give. It is in Breach Candy, has limited flats, and spells exclusivity. This rare setting cannot be emulated elsewhere in the city,” he said.