HDIL to sell Bangalore land to Godrej Properties

<p>Promoters of city-based property developer Housing Development and Infrastructure Ltd (HDIL) are close to selling their 14-acre land in Bangalore to Godrej Properties, the realty arm of the Godrej group, for around Rs 100 crore, according to sources close to the talks.

The land parcel is located off Sarjapur Road in Bangalore. “The deal is in the final legs. Godrej Properties has offered to pay Rs 98 crore now, and added it would increase the price to Rs 105 crore if HDIL promoters obtain all permissions, including commencement certificate,” said a person aware of the talks.

A Godrej Properties spokesperson said the company would not comment on market speculations. HDIL spokesperson did not respond to calls and text messages.

The sources said the deal was part of HDIL’s move to reduce its overall debt by 25 to 30 per cent in the current financial year. The company had a debt of Rs 4,100 crore as on December 2011. It is also looking at selling land parcels in Kolkata, Hyderabad and Kochi to raise over Rs 500 crore.