The National Company Law Tribunal (NCLT) approved Macrotech Developers' acquisition of V Hotels, owner of the Centaur Hotel (now Tulip Star), for INR 890 crore. The hotel's prime location in Mumbai's Juhu area attracted interest from real estate giants. Macrotech emerged as the successful bidder, offering an upfront payment of INR 278 crore to secure financial creditors, with two additional tranches of INR 405 crore each. The non-operational hotel, situated on a 6.1-acre land parcel, presents redevelopment opportunities for residential, commercial, or mixed-use projects. This acquisition revives a historic landmark and showcases Mumbai's evolving real estate landscape.
The National Company Law Tribunal (NCLT) has approved the acquisition of V Hotels, owner of the famed Centaur Hotel (now known as Tulip Star), by Macrotech Developers, a company owned by the Lodha Group. This acquisition, valued at approximately INR 890 crore, marks a new chapter for the iconic Juhu property and opens doors for exciting possibilities.
V Hotels, burdened by financial difficulties, entered the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code (IBC) 2016. This process attracted the attention of several prominent real estate players like Oberoi Realty, GHV India, and K Raheja Corp Real Estate. However, the prime location of the hotel property ultimately proved to be the deciding factor. Situated on a sprawling 6.1-acre land parcel on Juhu Tara Road in Vile Parle, the hotel enjoys a position in Mumbai's wealthy western suburbs. Experts believe that this prime location, coupled with the sizable land area, was a major draw for potential buyers.
Macrotech Developers emerged as the successful bidder, proposing to pay INR 890 crore to acquire V Hotels. The payment structure involves an upfront amount of INR 278 crore to secured financial creditors, followed by two tranches of INR 405 crore each within a specified timeframe. The existing hotel structure boasts 367 keys, restaurants, banquet halls, and a retail component. However, it is currently non-operational, raising questions about its future use.
The most intriguing aspect of this acquisition lies in the immense redevelopment potential of the land parcel. While V Hotels also owns residential apartments elsewhere in Mumbai's western suburbs, the Juhu property presents a unique opportunity. Zoning regulations for the area allow redevelopment for various asset classes, including residential, commercial, retail, or even a mixed-use project. This flexibility provides Macrotech Developers with a wide range of possibilities.
The history of the Juhu property adds another layer of intrigue to this story. Originally constructed and owned by the Hotel Corporation of India (HCI), a public sector undertaking, the property was known as the Centaur Hotel. Inaugurated in 1984, it quickly became a landmark, renowned for its luxurious hospitality and prime location. In 2002, V Hotels acquired the property under the government's disinvestment program. Unfortunately, financial difficulties forced them to enter the CIRP process.
Macrotech Developers' acquisition presents a unique chance to revitalise this iconic landmark. Whether they choose to redevelop it as a luxury hotel, high-end residences, a bustling commercial complex, or a captivating mixed-use project, the future of the former Centaur Hotel promises to be a significant addition to Mumbai's skyline. This story also serves as a reminder of the ever-evolving nature of Mumbai's real estate landscape, where historical landmarks can be transformed to cater to the needs of a growing metropolis.
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