In a landmark real estate deal in recent times, IDBI Bank has sold off its 7-storeyed office building in Mumbai to SEBI, the Indian market regulator. This is one of the largest commercial realty deals in the market and the building is situated at one of the most prime business zones in Maximum City, namely the BKC (Bandra-Kurla Complex). The deal is reported to be worth a whopping Rs. 1, 000 crore and has already obtained approval from the SEBI (Securities and Exchange Board of India) board according to reports.
This deal is already being perceived as the second biggest office-space deal for an end user in terms of value in the country. The first position belongs to the Rs. 1, 480 crore transaction by Abbott India for buying 4.35 lakh sq. ft. at the Bandra-Kurla Complex in the year 2015. The property rates for the current transaction hover around Rs. 30, 000 per sq. ft. as per reports.
3.41 lakh sq. ft. is offered by the IDBI office building in terms of built-up area and is situated in the G Block zone which is where SEBI already has offices. The block has been allocated exclusively for top financial services and banking companies and is also home to the National Stock Exchange, the biggest bourse in the country. This deal will also make SEBI one of the biggest commercial realty owners in the Bandra-Kurla Complex (BKC). The transaction will also enable a doubling of office space owned by SEBI and this may lead to an increase in the number of employees at the market regulator in the near future as per reports.
SEBI earns its income from fees linked to commodity and stock market based transactions. It also takes fines for punishing any market offence or wrongdoing. SEBI has already bought office space across most metro cities in India and has already built more than 125 guest houses and apartments for its employees. SEBI has also been directed recently to transfer Rs. 1, 672 crore in surplus funds to the Government.
