Boom city sends slum TDR prices soaring

Another record was created in the city’s real estate industry recently when a Mahul-based slum TDR (Transfer of Development Rights) belonging to Conwood Developers, part of the Dynamix Balwa group, fetched an all-time high of over Rs4,200 a sq ft. This is the first time the rate of slum TDR has fetched such a rate since it was introduced by the state government about a decade back.

The earlier record was set by a 8,000 sq m TDR plot generated from a slum scheme in Mankhurd was sold at Rs3,275 a sq ft in an auction held by Shivshahi Punarvasan Prakalp Ltd, a subsidiary of Maharashtra Housing and Area Development Authority.

Conwood has sold about 8 lakh sq ft of TDR generated from its slum schemes at Mahul in the eastern suburbs to Rahejas and other developers. Videocon has also sold about 10,000 sq ft to 15,000 sq ft TDR generated from a slum scheme at Mahul at a similar rate. With just about 2 lakh sq ft TDR readily available, speculation is rife in the market that the rate could even touch Rs5,000 a sq ft.

Confirming the TDR sale, a senior official of the Balwa group, said, ``We, in fact, strongly believe TDR rates will touch Rs5,000 a sq ft. There is no slowdown in sales and construction of residential and commercial projects are on as usual. We have infact hiked rates at our Bombay Central and Goregaon project by 10 per cent to touch Rs19,000 and Rs10,000 a sq ft respectively.’’