Indiabulls Housing Finance auctions Rana Kapoor’s property for Rs 114 crore.

Indiabulls Housing Finance has sold to a real estate developer in Delhi a property belonging to Yes Bank Cofounder Rana Kapoor for Rs 114 crore, said three people aware of the development.

To recoup nearly Rs 240 crore, it had loaned to Bliss Villa, a company where Kapoor was the guarantor, the mortgage lender sold at auction the property on Kautilya Marg in South Delhi.

“In early January of this year, Indiabulls took possession of the property. The company defaulted on three loans amounting to Rs 83.43 crore, Rs 69.88 crore, and Rs 86.56 crore prompting the finance company to put up for auction at a base price of Rs 114.32 crore,” said a person familiar with the matter.

The building comprises ground plus two floors, surrounded by Lutyen properties and embassies on a total area of 1.234 square yards.

“The property is in a prime location, and being in South Delhi is beneficial because the new owner can build up to four floors and sell it separately. This was not possible in Lutyens’ Delhi,” an executive with an international brokerage firm said.

Kapoor is currently being held at Navi Mumbai’s Taloja Jail on accusations of financial irregularities and money laundering. The Enforcement Directorate, which is investigating the money-laundering case, has provisionally attached properties belonging to Kapoor and associated entities worth Rs 792 crore (current market value estimated at Rs 1,400 crore).

In South Mumbai, these properties include an independent residential building and many flats. The ED has attached a bungalow on Amrita Shergill Marg in New Delhi, which has an approximate market value of Rs 685 crore.