MUMBAI: Textile major Raymond is in advanced talks to sell a large parcel of land in Thane, to a local developer. Sources familiar with the development told ET that the textile firm wants to sell around 9.4 acres out of the 125 acres it owns in the city.
The transaction could help the company raise as much as Rs 140 crore. The plot is close to the Mumbai-Nashik expressway and has reservation for a garden, school and a market.
But, a problem for the potential buyer could emerge in the form of slums, about 400 of them, as those living there will have to be provided alternative accommodation.
The developer can get incentive in the form of transferable development rights for the reservations and slum rehabilitation component. A Raymond spokesperson, however, was unavailable for comment.
Raymond had plans of either jointly developing the project or selling it after agreeing to an out-of-court settlement with its labour union which used to work in the textile located on the property.
On Friday, Raymond’s shares closed at Rs 413.7 on BSE, down 2.4% from Thursday’s close. The textile company owns 125 acres in Thane.