Maker Maxity is Mumbai's new i-banking hub

Mumbai’s investment bankers are flashing a new address these days: Maker Maxity in the Bandra Kurla Complex (BKC). The high-end building has become an investment banking hub of sorts, with Macquarie becoming the seventh such entity to take space there.

Some of the others who have moved in are UBS, BNP Paribas, Nomura, Jefferies, Daiwa and Canada-based Bank of Nova Scottia.

Though it doesn’t have a tony south Mumbai address, the rents are higher at Rs 400-425 a sq ft per month. The other popular financial service hubs in the city such as Ceejay House in Worli, Express Towers and Maker Chambers at Nariman Point, cost much less. While Ceejay House costs Rs 300-325, Express Towers costs Rs 275-300 and Maker Chambers Rs 275-300 per sq ft per month.

 

Maker Maxity is a joint venture (JV) between Mukesh Ambani and the Maker Group. About 20 per cent stake in Maker Maxity was sold to private equity firm Xander in 2006.

While the first three towers belong to the Maker Group, Tower 4 and 5 are owned by Ambani. One of the towers, owned by him, was recently leased to RBS (70 per cent of the total space). The other tower, currently vacant and under his ownership, may be leased out soon, say sources.

So what is so special about Maker Maxity? Apart from proximity to the airports, and the suburbs where most employees live, Maxity offers the luxury of space in a city starved of it. The five buildings comprising Maxity have a total 1.2 million sq ft area. In comparison, Ceejay House has just 400,000 sq ft space.

What will increase the attraction of Maxity is the decision of MGM Hospitality to operate and manage Bellagio hotel, an MGM Grand hotel and a Skylofts hotel within the complex. Las Vegas-based Bellagio Hotels is known for its high-end luxury suites.

Brijesh Koshal, managing director (investment banking) at Daiwa Capital Markets India, says, “As an office anyone would look for a nice location, convenient for customers and staff. Earlier, companies did not have much choice”.

Amit Goenka, National Director - Capital Transactions, Knight Frank (India), says with the shifting of key banking and regulatory institutions like RBI, Sebi, National Stock Exchange, IL&FS, ICICI Bank, Bank of Baroda and many other public institutions to BKC, it is natural for other banking and financial services players to operate in the vicinity. High property taxes with increasing maintenance bills also forced companies to change their south Mumbai address.