SBI to Acquire 200 2BHK Apartments in Mumbai for ₹294 Crore

The State Bank of India (SBI) is set to make a significant move in the Mumbai real estate market by acquiring 200 ready-to-move-in 2BHK apartments across the Mumbai Metropolitan Region (MMR) for its employees. This bulk deal, valued at approximately ₹294 crore (excluding statutory taxes), is part of SBI's initiative to provide quality housing for its staff.

According to bids floated on October 7, SBI has invited developers to offer units in select areas, including the central suburbs between Sion and Ghatkopar, the western suburbs between Andheri and Borivali, the Thane–Kalyan belt, and the Navi Mumbai corridor from Kharghar to Panvel.

Each apartment must have a MahaRERA carpet area of approximately 55.74 sq. m. (600 sq. ft.) and be less than five years old, as stated in the tender document. Only projects registered with Maharashtra RERA are eligible to bid, provided developers can hand over completed flats within 180 days. The SBI has also specified that brokers and intermediaries are not permitted to participate in the bidding process.

The evaluation of technical and financial bids will follow a 60:40 techno-commercial scoring system, with assessment based on parameters such as construction quality, project amenities, location, and pricing, among others.

SBI intends to purchase 50 units in each of the identified clusters. For the central suburbs, the bank has earmarked ₹84 crore (excluding taxes) for the acquisition of 50 two-bedroom apartments. In the western suburbs, the estimated cost for 50 similar units is ₹108 crore (excluding taxes). For the Thane–Kalyan belt, SBI has set aside ₹54 crore, while for the Kharghar–Panvel region, the estimated allocation stands at ₹48 crore, both excluding taxes.

SBI plans to purchase 200 apartments along with 400 parking spaces, comprising 200 car parking and 200 two-wheeler parking slots. The bank will consider only ready-to-move-in apartments with all requisite regulatory approvals and occupancy certificates (OCs) in place. Preference will be given to single-ownership projects with clear and marketable titles, and the entire transaction is expected to be completed within six months from the issuance of the Letter of Intent (LoI).

Bulk housing acquisitions are not uncommon in Mumbai’s real estate market, particularly among large public sector banks and government institutions, local brokers said. SBI itself has previously purchased residential units for staff in areas such as Navi Mumbai and Andheri.

Other institutions like Bank of Baroda, Union Bank of India, and LIC Housing Finance have also issued similar tenders for staff accommodation. Such organizations typically opt for outright purchases in key clusters to ensure long-term cost efficiency and ease of management.

According to local brokers, some banks historically built homes for their staff. However, due to land shortages, institutions now prefer buying ready apartments on the market. This shift reflects the changing dynamics of the real estate sector in Mumbai, where ready-to-move-in properties are increasingly favored over long-term construction projects.