Indiabulls Housing Finance to sell its South Mumbai’s property for Rs 121 crore.

By Abhay Shah, Realty Quarter 

Indiabulls Housing Finance has placed a top two-storey bungalow property on the block to recover its dues from owner Phulchand Exports in South Mumbai’s plush Cuffe Parade area. The bungalow’s reserve price is laid at Rs 121 crore, with 12,100 sq ft build-up area, and the company dues and loan guarantors are approximately Rs 100 crore.

On October 9, the bungalow will be auctioned. The property was mortgaged by Phulchand Exports Pvt Ltd, which owes a total of Rs 104 crore to the non-banking finance company. Apart from end-users, real estate developers may also display a keen interest in the estate if there is a growth opportunity for the bungalow, said, property experts.

The bungalow is a construction composed of ground, first floor and part of the second floor, along with open land spaces on all four sides. The building is located in the Cuffe Parade area on a location near Mittal Grandeur, at the intersection of Khatau Road.

It is expected that bidders should deposit Rs 12.10 crore as the earnest deposit money, which is 10% of the reserve cost. The effective bidder is then expected to pay a deposit of 25% of the sale price (less 10% amount paid along with the bid) when the bid is accepted. The remaining 75% of the selling cost must be deposited within 15 days of the bid’s acceptance date.

The NBFC released an e-auction notice for immovable property under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002.

Indiabulls Housing Finance has taken possession of the estate and will be sold on the grounds of “as is where is,” “as is what is,” “whatever there is” and “without any recourse” basis.

It may be recalled that Indiabulls Housing Finance recently auctioned the super-luxury residential tower Palais Royale in the Worli location of Mumbai to recover some of its dues from the developer Shree Ram Urban Infrastructure.

The total loan to Phulchand Exports amounts to Rs 104.38 crore, by the manner of outstanding principal arrears including accrued late fees and interest until August 26 along with relevant future interest in terms of the loan agreement.