Max Estates Ltd, along with minority consortium partners, has secured allotment of a 5.5-acre land parcel in Sector 132, Noida, for approximately Rs. 272 crore through an e-auction conducted by the Noida Authority. The company plans to develop a mixed-use project on the site, with residential, commercial, retail and amenity components.
The land parcel has a permissible floor area ratio (FAR) of 2.0, translating into development potential of around five lakh sq ft. The company estimates the project's Gross Development Value (GDV) at Rs. 1,500 crore to Rs. 2,000 crore, apart from lease income from its commercial and retail spaces.
Max Estates Wins Sector 132 Plot Through E-Auction
The plot, identified as COMM-01, in Sector 132, Noida has been allotted to the company under an e-auction conducted by the New Okhla Industrial Development Authority, the company said in a regulatory filing on November 6. It was allotted along with other minority partners in the consortium.
The bid value is approximately Rs. 272 crore. Under the payment terms, 40% of the amount is payable within 60 days of allotment, while the remaining amount will be paid in instalments over four years.
The allotment gives the company access to a 5.5-acre site for a mixed-use development. The permissible FAR of 2.0 provides for approximately five lakh sq ft of development potential, subject to the applicable approvals and regulations.
Project to Combine Residential and Commercial Uses
Max Estates plans to develop residential, commercial, retail and amenity spaces on the land parcel. The company has estimated the project's GDV at Rs. 1,500 crore to Rs. 2,000 crore, apart from lease income from its commercial and retail components.
The commercial and retail components are also expected to generate lease income after development. This would give the project both residential and commercial elements, rather than relying only on revenue from residential sales.
The estimated revenue is a projection for the proposed development and should not be confused with the value of the land transaction. The Rs. 272-crore figure refers to the bid value for the plot, while the Rs. 1,500-crore to Rs. 2,000-crore estimate relates to the project's expected revenue potential.
Land Deal Adds to Max Estates’ Noida Portfolio
Sahil Vachani, Vice Chairman and Managing Director of Max Estates, described the allotment as an addition to the company's Noida portfolio. He said the acquisition was in line with its approach of adding land parcels to its development pipeline.
The company has been expanding its presence in the National Capital Region through residential and commercial real estate projects, including its Noida portfolio. The Sector 132 site gives it another location in Noida for a development that combines multiple property uses.
Vachani also said the acquisition would increase the company's overall residential and mixed-use GDV pipeline to nearly Rs. 32,000 crore. This figure relates to the company's wider development pipeline and is separate from the estimated GDV of the Sector 132 project.
Noida Site to Be Developed as a Mixed-Use Project
The proposed development will bring residential and commercial uses together on the same land parcel.The commercial and retail components are expected to generate lease income, while the residential portion will contribute to the project's overall GDV.
For Max Estates, the immediate next steps involve meeting the land payment schedule and securing the necessary approvals for the development. The project will then move towards planning and execution in accordance with the permissions granted by the relevant authorities.
The allotment adds a new project to the company's Noida plans, with the development potential and revenue estimates dependent on approvals and the eventual execution of the mixed-use project.
