MTNL Approves Sale of Mumbai Residential Block to NABARD for ₹350.72 Crore
NEW DELHI: The board of state-run Mahanagar Telephone Nigam Ltd (MTNL) has approved the proposal for the sale of its residential property block in Bandra Kurla Complex (BKC), Mumbai, to the National Bank for Agriculture and Rural Development (NABARD) via a government-to-government (G2G) transfer or direct sale for ₹350.72 crore. According to a BSE filing on Monday, this decision aligns with the company’s strategy to monetize its assets.
The terms of the sale include the stipulation that NABARD will bear the stamp duty, registration fee, and incidental charges. Meanwhile, MTNL will be responsible for all dues prior to the transfer and the National Land Monetisation Corporation (NLMC) fee as per the letter of undertaking dated June 29, 2025.
MTNL's residential property block is located on MMRDA Plot No. R-4, BKC, Bandra (E), Mumbai. The plot area of the property is 2,680 square meters, and the built-up area is 4,019.02 square meters. The property includes 28 quarters.
The filing stated, 'This is to inform you that the Board of Directors... has approved the proposal for the sale of MTNL's Residential Property, viz., GN Block, BKC Quarters (28 quarters), Plot Area 2,680 sqm and built-up area 4,019.02 sqm, at MMRDA Plot No. R-4, BKC, Bandra (E), Mumbai...to NABARD through Government-to-Government (G2G) transfer/direct sale at ₹350.72 crore.'
The approval for this sale was granted in accordance with the Presidential approval dated July 17, 2020, under the Articles of Association of MTNL for asset monetization. It also follows the approval dated November 11, 2025, of the Alternative Mechanism (AM) for the sale of the property to NABARD.
This transaction is expected to provide a significant financial boost to MTNL, which has been focusing on optimizing its asset base to improve its financial health and operational efficiency. The sale of this residential property is part of a broader strategy to streamline the company’s operations and allocate resources more effectively.
The Bandra Kurla Complex (BKC) is a prominent business district in Mumbai, known for its high-value real estate and strategic location. The sale of this property to NABARD is likely to have positive implications for both entities, with NABARD gaining a valuable asset and MTNL receiving a substantial financial injection.
In conclusion, the approval of this sale by the MTNL board marks a significant step in the company’s efforts to monetize its assets and enhance its financial position. The terms of the sale, including the allocation of costs, have been clearly defined, ensuring a smooth and transparent transaction.
