At Rs 45,000 per sqft, plot in Bengaluru CBD goes for Rs 45 crore

By | June 10, 2017

In the costliest real estate deal, BP Kumar Babu of Cornerstone Group, the largest landholder in Bengaluru, has acquired a 10,000-sqft plot opposite UB City for Rs 45 crore. At Rs 45,000 per sqft, the deal has dwarfed all other recent transactions, including Flipkart cofounder Binny Bansal’s residence buy in Koramangala last year.

Confirming the deal, Kumar Babu, who is 45 and owns a fleet of fancy cars, said he was planning to build a corporate office on the land.Earlier owned by Philips and his family , the land will be converted into 35,000-sqft office. Babu completed the registration two weeks ago.

Cornerstone owns 2,300 acres of land worth more than Rs 10,000 crore in Bengaluru and its outskirts, especially in north and east of the city. That makes the company a prime provider of real estate to most leading developers in the city.
The area is one of the sought after in the city, which, apart from UB City, also houses JW Marriott hotel. It also boasts of showrooms of fancy vehicles such as BMW, Porsche and Harley Davidson. Builder Nitin Bag mane’s residence, through a joint development with the landowner, is adjacent to Babu’s latest buy . In 2013, Sobha Developers sold low-cost aviation pioneer Capt Gopinath’s 16,200-sqft home in the same vicinity to the Goenkas of Texport Overseas, a garment manufacturing company , for Rs 55 crore, pegging the per-square-foot value at around Rs 34,000 sqft.Last year, Flipkart’s Binny Bansal acquired a 10,000sqft home in Koramangala’s 3rd block -a coveted neighbourhood of self-made billionaires -for Rs 32 crore.
A three-year-old Corner stone corporate presentation accessed by this newspaper shows Babu owning over 1,750 acres between north and east Bengaluru, the fastest developing belts in the city’s real estate landscape. Cornerstone had more than 490 acres in Varthur, Gunjur and Belikere, where real estate potential accelerated as large technology campuses developed along the outer ring road.
Cornerstone had 1,250 acres in two large projects in north Bengaluru, the presentation showed. Babu has acquired more land parcels since then, taking the group’s portfolio well past 2,000 acres. Cornerstone claims to be the first landholding firm to corporatize its business and transform into a one-stop solution provider for land banking.
Cornerstone has struck a massive joint development pact with Embassy Group, the country’s leading business park developer, to build 12-million-sqft office space project in Whitefield.