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Ajay Piramal-led Piramal Fund Management has lent Rs 1,200 crore to Mumbai-based Omkar Group’s luxury housing project, Omkar 1973, in one of the biggest project financing deals. Of this amount, Rs 400 crore would be used to part-refinance existing senior lenders and the balance Rs 800 crore is for construction finance. Piramal will get exclusive charge on receivable of 0.4 million sq ft of space, which is sold, and get rights to sell some flats.
Omkar 1973 is flagship property of Omkar, with three high-rise towers spread nine acres in the Worli area of Mumbai. The project, designed by Foster + Partners, has received all approvals, and construction is progressing in full swing. Of the three towers, two are midway to completion and are expected to be delivered and handed over by the end of 2017. Khushru Jijina, managing director, Piramal Fund Management, said: “Omkar remains a preferred partner for our platform and with this transaction, we have demonstrated our ability to remain a perpetual provider of capital across the entire capital stack.” Babulal Varma, managing director, Omkar, said: “With this funding, we have achieved full financial closure for the construction and development completion of Omkar 1973.”