Indian Hotels Company Ltd (IHCL), which operates the Taj Group of hotels, has
acquired a 85 per cent stake in the shares of Elel Hotels and Investments for Rs
680 crore.
Elel is the subsidiary of Claridges Hotel, which holds the sublease for the
land on which the Sea Rock hotel is located in Mumbai.
IHCL plans to demolish the existing structure and redevelop the area that is
likely to have hotel rooms, a large convention centre, and retail and commercial
operations. The company is likely to spend around Rs 500 crore to redevelop the
acquired property. All necessary approvals, including coastal regulation zone
approvals, have been obtained. The re-development project is expected to be
completed by February 2011.
Also See:
Indian Hotels
likely to acquire Sea Rock (23-Apr-09)