Bank of Baroda Tops Bidding for Jet Airways’ BKC Office with Rs.370 Crore Offer
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Bank of Baroda has made the highest bid to buy Jet Airways’ former office space, which is spread across 83,000 square feet in the Bandra-Kurla Complex (BKC) in Mumbai. This major bid was reported by The Economic Times, citing people familiar with the matter.
Details of the Bid
The public sector bank has offered ₹370 crore for the office property located on the second floor of the Godrej BKC commercial tower. The bid was made during a court-monitored e-auction process held under the Insolvency and Bankruptcy Code (IBC), 2016. Several other interested parties also participated, but Bank of Baroda emerged as the top bidder.
Brookfield’s Right of First Refusal
The property is currently under the Right of First Refusal (ROFR) of Brookfield Asset Management. This means Brookfield has the legal right to match the highest bid before the deal is finalized. Brookfield is expected to be informed about Bank of Baroda’s offer and will get 15 days to decide if they want to match the ₹370 crore bid. According to the report, Brookfield is likely to exercise this right.
Auction and Property Details
The auction took place on June 2, and included not just the office space but also 70 reserved parking spaces. Interested bidders were required to pay a refundable deposit, called earnest money, of ₹32.5 crore to participate in the auction.
This office space is currently vacant and had been sealed by the Municipal Corporation of Greater Mumbai (MCGM) earlier due to unpaid dues by Jet Airways. However, on April 28, the National Company Law Tribunal (NCLT) ordered that the property be unsealed and that no further recovery actions should take place.
Brookfield’s Past Purchase
Brookfield already owns the third and fourth floors of the same building. It had bought those floors in 2020 for ₹490 crore. At present, that space is rented out to well-known organizations like the World Bank and PayPal.
Sale Conditions
The property is being sold on an “as is where is” basis, which means the buyer must accept the property in its current condition. The winning bidder will also be responsible for all applicable taxes and charges.
Jet Airways and Its Insolvency
Jet Airways, once one of India’s largest private airlines, has been undergoing insolvency proceedings since 2019. Many of its assets are being sold off under the supervision of the court to pay off creditors.
