Realty firm M3M India today said it has paid Rs 300 crore as installment to Sahara group as part of the deal to buy 185 acres of land in Gurgaon for Rs 1,211 crore.
Last month, Sahara group announced the sale of a big land parcel in Gurgaon for Rs 1,211 crore to realty firm M3M India Ltd.
M3M India paid Rs 300 crore in advance to Sahara Group in order to close the deal of Rs 1,211 crore, the company said in a statement.
As per the agreement, M3M said, it was supposed to pay only Rs 150 crore but paid Rs 300 crore to shorten the time to conclude the deal.
The land would be utilised for the development of branded residencies, branded service apartments, multiplexes, hotels, offices, entertainment centres and other smart city features.
“We are eager to close the deal with Sahara Group so that we can kick start the developmental work of the Gurgaon land. Hence we opted to make the advance payment,” M3M India Director Pankaj Bansal said.
Last month, M3M India said the 185 acres of land it is buying would be used for ‘mixed-use development’ and has sales revenue potential of Rs 12,000 crore over the next 6-8 years.
The entire amount of Rs 1,211 crore was to be paid in installments over a period of six months.
M3M India is also exploring the possibility of roping in international developers, financial institutions and private equity firms to develop this ambitious project, which could entail an investment of over Rs 4,000 crore.
M3M India Pvt Ltd, which currently has 2,000 acres of land in an around Gurgaon, is developing 14 projects, including its flagship 75-acre project ‘M3M Golf Estate’, covering about 11 million sq ft of built up area.