At 1.5 lakh/sqft, Borivali property sells for record price

MUMBAI: In what could easily be the most expensive land deal in the metropolis, a building in suburban Borivali (West) was sold for a whopping 1.5-lakh per square feet for commercial purpose but an expert said that the pricing would not become a norm for the area. The building — Mangal Kunj — measuring over a lakh square feet has reportedly been sold to a matka king. Mangal Kunj is a complex comprising five buildings and around a 100 shops.

However, a real estate expert said the deal would not have any impact on real estate value in that location as it is far beyond the pricing norm of that area. “Real estate values in a location are not generally influenced by oneoff deals, especially if the final valuation of that deal is far beyond the pricing norm of that location ,” Jones Lang Lasalle Meghraj (JLLM’s ) chairman and country head Anuj Puri said.

He said that market trends in Borivali were driven by the midincome sector. “Any developer there would cater to the catchment, according to the existing profile, instead of being influenced by such over-valued deals,” he said. However, property prices in Borivali are increasing gradually, he added. High-value land deals in the prime locations of Nariman Point and Colaba, however, have an impact on the overall property prices there, he said.

“Any major deal in these localities will have an impact on property values here, as the pricing norms are upward inclined. But in a place where real estates prices are comparatively less, it is unlikely that it would have an impact on the property prices there,” he said.