The UK government’s Secretary of State for Foreign, Commonwealth, and Development Affairs has purchased 12 office units totalling 14,883 sq ft in Mumbai’s One Lodha Place for ₹101.2 crore. The acquisition, signed by Trade Commissioner Harjinder Singh Kang, signifies strategic diplomatic expansion in India.
In one of the largest commercial real estate deals recently, the UK government’s Secretary of State for Foreign, Commonwealth, and Development Affairs (FCDA) has purchased prime office space in Mumbai’s bustling Lower Parel district for ₹101.2 crore. Propstack documented the transaction and signified a notable investment in India’s commercial real estate market.
The acquisition involves 12 office units spanning 14,883 square feet in the One Lodha Place building. The seller, One Place Commercial Private Ltd, is a subsidiary of the prominent real estate developer Lodha Group. The sale agreement, signed on May 5, includes a nominal stamp duty payment of ₹100, as revealed by the transaction documents.
Harjinder Singh Kang, the UK’s Trade Commissioner for South Asia and Deputy High Commissioner for Western India, signed the agreement. Kang is crucial in managing the UK’s trade and investment relations with South Asia and oversees the British Deputy High Commission’s operations in Maharashtra, Goa, and Madhya Pradesh.
Although neither Lodha Group nor the FCDA commented on the deal, sources suggest that the acquisition may be part of the UK government’s strategy to expand its operational footprint in India for diplomatic and trade purposes. This move aligns with regulations allowing foreign embassies and diplomats to purchase non-agricultural properties in India with prior clearance from the Ministry of External Affairs.
The transaction highlights the thriving real estate market in Lower Parel, a prominent commercial and shopping district in Mumbai. A recent ANAROCK report shows that the Mumbai Metropolitan Region (MMR) has seen significant price increases in key areas. Lower Parel experiencing a 21% appreciation in average prices over the past three years. This trend reflects the area’s growing commercial and residential investment attractiveness.
In December of last year, a subsidiary of Piramal Enterprises acquired office space in Lower Parel for a staggering ₹875 crore, underscoring the area’s value. Additionally, in October, Surinder Chawla, Managing Director of Paytm Payments Bank Limited, purchased a luxury duplex apartment in Lower Parel for ₹20 crore, further demonstrating the district’s appeal to high-profile buyers.
The booming real estate market in Lower Parel and other key areas in the MMR and Delhi NCR regions is characterized by a surge in property values. ANAROCK’s report indicates that areas such as Greater Noida West in NCR have seen price increases of up to 27% over the same period. This upward trend highlights the demand for prime real estate in India’s major metropolitan areas.
The UK government’s investment in Mumbai’s commercial real estate signifies confidence in India’s economic potential and emphasizes the strategic importance of establishing a strong presence in key global markets. As foreign governments and multinational corporations continue to invest in India’s real estate, the country’s commercial hubs like Lower Parel are poised for sustained growth and development.
