Noida: Real estate major M3M India on Tuesday bagged a 12.5-acre (49,932 square metres) commercial mixed-use plot in Sector 108 for Rs 1,839 crore, more than double the reserve price of Rs 836 crore, after a bidding war with DLF. Godrej Properties, the third company shortlisted for the auction, did not participate in the bidding. DLF made a final bid of Rs 1,740 crore.The deal is the second costliest commercial land transactions in the city on record. In 2008, BPTP Capital City had offered Rs 1.3 lakh per square metre for a 95-acre plot in Noida’s Sector 94, valuing the deal at Rs 5,006 crore. It later surrendered part of the land under an exit policy announced by the UP govt, eventually paying Rs 1,300 crore for the 21 acres it retained.Among other big-ticket deals is a 12.3-acre commercial plot in Sector 51, bought by IKEA for Rs 850 crore in 2021, where it is developing a retail store, a hotel, office towers and co-working spaces. M3M India, through its subsidiary Lavish Buildmart, acquired a 12-acre parcel in Sector 94 for Rs 827 crore in Nov 2022 to build M3M The Cullinan, which will include a luxury shopping plaza, high-street retail spaces and fine-dining restaurants. Earlier this year, M3M India bought a six-acre parcel in Sector 98 for Rs 414 crore.Officials attributed the high bids to a scarcity of commercial land in the city. Noida Authority assistant general manager Shobha Kushwaha told TOI that there is limited commercial land in Noida. “We have only three to four commercial plots along Noida Expressway and some plots near Advant Building in Sector 142, prompting leading developers to bid aggressively for the available parcels,” the official said, adding that M3M and DLF were also vying for the Sector 108 plot due to its prime location.
Sector 108 offers easy access to Noida Expressway and sits next to the police commissioner’s office and the IT/ITES hub. It is also expected to get metro connectivity once the Aqua Line’s Botanical Garden-Sector 142 corridor is developed.According to officials, the final outlay for the Sector 108 parcel is likely to exceed Rs 2,000 crore once stamp duty and other govt charges, estimated at nearly Rs 150 crore, are added. This means the Gurgaon-based realty group will be paying nearly Rs 147 crore an acre. While developers do not share details of a project at the auction stage, Noida Authority officials said the sector is marked for mixed land use, which allows for both residential and commercial projects.Besides the Sector 108 plot, Noida Authority on Tuesday also auctioned four more commercial parcels, each over 20,000 sqm, though every one drew just a single bidder. Together, they fetched nearly Rs 1,515 crore.In Sector 96, a 24,000 sqm plot with a reserve price of Rs 410 crore was bagged by Sepset Properties for Rs 414.8 crore. In Sector 98, two plots of 24,000 sqm each, both with reserve prices of Rs 410 crore, went to Manglam Multiplex Private Limited and Begonia Builders for Rs 414 crore each. In Sector 132, a 22,403 sqm plot with a reserve price of Rs 269 crore was bagged by Max Estate Limited for Rs 271.93 crore.
