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Unitech-Omkar JV falls apart

Tuesday, 01 Jun 2010
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Unitech has reportedly decided to part ways with Omkar, its Mumbai JV partner for slum rehabilitation projects.

Both partners held equal stake in the venture, called Unitech Omkar. Unitech has already invested Rs 250 crore into the venture. The projects were being executed at the entity level.

The JV had launched projects at discounted prices in prime localities like Worli called 'The Residences'. It has pre-sold around 20 per cent of the project. Another one is in Chembur where the Phase I has been sold out and it was expected to launch the Phase II, apart from the Woodside and Ascot projects in Dadar, central Mumbai.

Following the parting of ways, ongoing projects are expected to continue as SPVs. Henceforth, any new investment that Unitech makes in slum rehabilitation schemes is likely to be of an SPV nature.

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