After successfully launching a world-class airport terminal (T2), GVK now plans to construct a new business district in the vicinity of the international airport.
Armed with 200-acre of land that the energy to infrastructure giant received for constructing the new terminal, the company plans to transform the parcel of land into a massive business district, which would be bigger than the Bandra-Kurla Complex.
The ambitious project, known as the GVK Skycity, would comprise mostly of commercial establishments, hotels, malls, and theme parks, but not residential apartments. Going by the ongoing market rate of commercial office space around the swanky new airport, the 200-acre of land would fetch them nothing less than Rs. 13,000 crore. According to realty experts, if GVK plans to bid out the land, they may get more than the existing market rate.
GVK plans to monetise the 1.80 million sq-feet airport land available to them and a tender for the same has been floated and bids have been invited too. The 200-acre land bank has been divided into seven parts and the bids have been invited for the first parcel of land. According to sources, the first phase will see the construction of hotels.
When GVK officials were asked about the project, they confirmed the plans to develop the area in and around the airport. “By virtue of the Operations, Maintenance and Development Agreement (OMDA) with AAI, GVK has been allowed to monetise about 10 per cent of the airport land with an objective to help the company raise resources to develop and modernize the Mumbai International airport,” said a GVK official.
No turbulence
Experts said that the since most of the 200-acre of land is slum free, it is an added advantage for the company. The company had initiated the slum redevelopment scheme for most of the slums existing near the airport years ago.
When asked what GVK plans to construct here, the official said, “GVK is getting set to transform the skyline of Mumbai with its 24×7 vibrant destination, SkyCity. It will house a range of hospitality, commercial, retail, entertainment and cultural hubs. In a phased development that will take place over 10-12 years, GVK SkyCity will feature an array of themes and unique characteristics.
Furthermore, the development planned around the airport will make it easily accessible to international visitors and city residents alike. The project will feature, amongst other things, urban design, utilities, transportation and landscape planning.”
Voices
It will be very good for the city, as it will help curb the exorbitant prices of commercial space. Reaching Andheri is easier than BKC or Nariman Point. When supply comes in, then it would put pressure on BKC and other commercial hubs to reduce rates. – Pankaj Kapoor, MD, Liases Foras
No one, including private companies, should be compensated. When people have paid taxes for infrastructure, then why are they [govt] dependent on private firms to develop everything. Where is the tax payers’ money going? – Dr Sanjay Chaturvedi, executive editor, Accommodation Times
