MTNL Sells Prime BKC Property Leasehold to Nabard for ₹350.72 Crore
MTNL sells BKC leasehold rights to Nabard for ₹350.72 crore
Hindustan Times
Image: Hindustan Times
Mahanagar Telephone Nigam Limited (MTNL) has sold the leasehold rights of a prime property in Bandra Kurla Complex (BKC) to the National Bank for Agriculture and Rural Development (Nabard) for ₹350.72 crore. This sale is part of MTNL's asset monetisation strategy aimed at addressing its significant financial challenges.
- 01The property spans 2,680 sq m and includes a building with a built-up area of 4,021.43 sq m.
- 02MTNL's debt has exceeded ₹36,000 crore, prompting the need for asset sales.
- 03The lease was originally granted to MTNL by the Mumbai Metropolitan Region Development Authority (MMRDA) in April 1998 for 80 years, with 52 years remaining.
- 04MTNL's subscriber base has plummeted from 5.83 million in 2012 to just 81,337 as of March 2026.
- 05Other public sector organizations are also expanding in BKC, including the Securities and Exchange Board of India and the National Stock Exchange of India.
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Mahanagar Telephone Nigam Limited (MTNL), facing severe financial difficulties, has sold the leasehold rights of a prime property in Bandra Kurla Complex (BKC) to the National Bank for Agriculture and Rural Development (Nabard) for ₹350.72 crore. This transaction is part of MTNL's broader asset monetisation strategy aimed at alleviating its debts, which have surpassed ₹36,000 crore. The property, covering 2,680 sq m, includes a building with a built-up area of 4,021.43 sq m and was originally leased to MTNL by the Mumbai Metropolitan Region Development Authority (MMRDA) in April 1998 for a total of 80 years, with 52 years remaining on the lease. MTNL's subscriber base has drastically declined from 5.83 million in 2012 to merely 81,337 as of March 2026, prompting the company to consider monetising its real estate assets, which include various properties in Mumbai and Delhi. Other public sector entities, such as the Securities and Exchange Board of India and the National Stock Exchange of India, are also expanding their presence in BKC, indicating a growing interest in this prime business district.
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This sale may help MTNL stabilize its finances, potentially affecting service quality and employment if the company can redirect funds effectively.
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