Wadia Group-owned Bombay Dyeing and Manufacturing Company (BDMC) has entered into agreements with Goisu Realty for the sale of 22 acres of land in Worli, Mumbai. The plan to monetise the land parcel is a move towards funding its future real estate projects.

The company’s Board of Directors has approved the proposal to sell the land parcel along with the associated FSI in two phases, for Rs 5,200 crore, subject to the approval of its shareholders. Of this, BDMC will receive nearly Rs 4,675 crore from the buyer for Phase-I, while the balance amount of about Rs 525 crore will be received upon completion of certain conditions by BDMC and execution and consummation of the definitive agreements thereto, for Phase-II.

Goisu Realty is a subsidiary of Sumitomo Realty & Development Company, and the deal is slated to be one of the largest land deals in value terms, in Mumbai.

The Board also also given in-principle nod to the development of the unutilized land parcels available with the company. These have the potential to create about 3.5 million sq. ft. in residential/commercial assets and notch a revenue of about Rs 15,000 crore over the next few years.

Additionally, the company would also consider other joint development and partnership opportunities to create a steady pipeline of revenue.