Bengaluru: One of the landmarks of the area, Indiranagar BDA complex will give way for a swanky two unit modern complex, making optimum use of the existing space.
The complex currently houses 165 tenants and a host of public services. The BDA proposes to build a two block market at a whopping cost of Rs 657 crore, including the cost of relocation and rehabilitation.
BDA Commissioner Rakesh Singh told Deccan Chronicle that although the Indiranagar complex is spread over 6.03 acres (24,400 sq. mtrs) of land, barely 1.34 lakh sq. feet is utilised to house RTO office and other services apart from renting its premises. The complex is earning a mere Rs. 2 crore per annum, which is not sufficient even to meet the maintenance expenses.
The construction period will be for two years and BDA plans to accommodate the tenants and RTO office within the premises. However, during this period the public will face inconvenience but once the construction is over, the facilities would improve, the official assured.
The BDA has proposed to have a total built up area of 14.95 lakh sq. feet from the two blocks. The project will be executed under the Public Private Partnership (PPP) model. The PPP partner will have to bring the entire finance required for completing the project as per the agreed framework, including the relocaton and rehabilitation of the existing tenants.
Tenders under the PPP model were invited on March 24, 2015 and January 5, 2016. Due to poor response, the BDA had to call for tender for the third time on August 23, 2017.
The joint ventures of Maverick Holdings and Investments Pvt. Ltd and Embassy Group and MFAR developers Pvt. Ltd have taken part in the tender process. Maverick Holdings and Investments Pvt. Ltd is the lead partner of the joint venture. The financial bids of these two bidders have been opened and evaluations are in progress.
Bids raise controversy The news that a joint venture formed between Embassy Group’s Embassy Property Developments Private Limited (EPDPL) and Maverick Holdings & Investments Private Limited qualifying for the project proposing to redevelop the Indiranagar BDA complex had created controversy given Embassy’s links to Bengaluru Development Minister K.J. George. However, BDA commissioner Rakesh Singh clarified that the tender is still under scrutiny.
Embassy, Maverick to form SPV Embassy Group through its venture Embassy Property Developments Pvt Ltd (EPDPL) has partnered with Maverick Holdings & Investments Pvt Ltd to form a Joint Venture Consortium and bid for the Indiranagar BDA complex redevelopment. Both entities will form an SPV to develop the project once the project has been awarded to the consortium.
This bid to redevelop the Indiranagar BDA Complex was called for the third time by BDA, as the earlier two calls did not receive any response. As per the criteria set by BDA, (which is available in public domain) Maverick Holdings & Investments Pvt Ltd qualifies technically and EPDPL qualifies financially, with EPDPL being the lead partner.
The bid is based on a design to develop 650,000 sft of retail and mall space and 350,000 sft of commercial office space.