The Reserve Bank of India (RBI) has purchased a 4.16-acre land parcel at Nariman Point, Mumbai’s prime business district, from the Mumbai Metro Rail Corporation Ltd (MMRCL) for ₹3,472 crore. The deal was registered on September 5.
The bid had a reserve price of Rs 5,173 crore, but the RBI has been given a 90-year lease on the land for the far lesser sum of Rs 3,471.82 crore. The RBI has been scouting for South Mumbai office premises with a minimum area of around 30,000 sq feet for the last four years.
The land has been acquired by RBI for self-use and commercial purposes. The central bank’s main headquarters is currently located in Fort, South Mumbai.
Earlier, in March 2023, the Maharashtra government had transferred the land to MMRCL with full rights to sell or develop it. In November 2024, RBI formally expressed its interest in acquiring the property. This property previously housed government offices and a political party. These offices, spread across 113,500 sq ft, required relocation.
Following negotiations, RBI’s obligation to provide alternative premises was waived, and instead it paid a settlement amount to MMRCL. At a meeting chaired by the Maharashtra chief secretary on May 29, it was agreed that ₹600.82 crore would cover the rehabilitation costs.
As per the sale deed, the property has been transferred to RBI on a freehold basis, releasing it from any past or future obligations related to the rehabilitation area.
The plot offers a buildable area of around 1.6 million sq ft, including 1.13 lakh sq ft earmarked to rehouse the structures that occupied the land prior to 2017.
Nariman Point is a prominent location in South Mumbai that houses some of India’s prestigious business headquarters and government offices.
The property is expected to be developed for institutional purposes, strengthening the central bank’s presence in Mumbai.
