Clariant Chemicals (India), a leading multinational, has sold 35acres of its land at Balkum, Thane, to Kalpataru Developers for Rs240 crore (about Rs8 crore an acre), taking advantage of the reviving land market in the city.
Kalpataru faced tough competition from Lodha, which had offered an equally high price.
Real estate experts believe it was a good offer for the land. Adding construction costs, the developer could easily sell a flat at Rs5,000 per sq ft two years after construction, and down the line the realty market has improved.
Kalpataru had purchased 25 acres in 2005. As per an understanding between the two, Clariant had promised to give Kalpataru the first chance of refusal whenever it decided to sell off the balance land.
If Clariant received an offer for the land higher than that quoted by Kalpataru, the latter would be given an opportunity to match the price. But, if Kalpataru refused, the land would be sold to the highest bidder.
Kalpataru Group director Parag Munot acknowledged that they had purchased the property.
The Balkum site was used to manufacture drugs and speciality chemicals. In 2009, the company sold Diketene and downstream intermediate products together with the plant and equipment for Rs13.25 crore to Laxmi Organics Industries. This sale was to be completed this year.
The company said it sold this business as the area was becoming a residential hub and a chemical industry could not operate from there.
At its recent annual general body meeting, the company said the management did not intend to shift the plant as it would take 15 months.
As far as the land from the Balkum site is concerned, Clariant chairman RA Shah said the funds would be utilised for future capital expenditure and other growth plans, as the manufacturing base shifts from the European Union to India.
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