At 37,000 crore reserve price, Aamby Valley to be most expensive real estate auction in the country

The jewel in the troubled Sahara Group is on the block.

The official liquidator of the Bombay High Court has put Aamby Valley, the marquee property of group, on sale for a reserve price of Rs 37,392 crore.

The auction, the most expensive real estate auction in the country, is scheduled to be held on October 10 and 11.

Even to participate in the auction, prospective bidders will have to pay an amount of Rs 5,600 crore and above.

The auction includes an integrated hill city township, Aamby Valley City Development spread over 6,761 undulating acre of land. The auction also includes land admeasuring 1,409 acre surrounding Aamby Valley City Development and another piece of land admeasuring 321 acre in Satara district.

The auction is being held on the order of the Supreme Court on April 27, passed in a contempt petition in the matter of Securities and Exchange Board of India (Sebi) versus Sahara India Real Estate Corporation Ltd and others.

The official liquidator, Bombay High Court, has been appointed by the apex court to sell the properties of Aamby Valley City Development through an auction on 'as is where is whatever there is' basis.

Following which on Monday the liquidator invited the prospective bidders to submit their bids along with 15% as the earnest money deposit of the reserve price of Rs 37,392 crore along with other documents.

The government-run auctioneer MSTC India has been involved in the process.

Given the quantum of the properties to be sold, the properties are being sold in two parts.

A senior MSTC India official said, "The details of properties will soon be uploaded on the website and anyone who wants to participate will have to pay Rs 10,000 and create a login."

The properties being auctioned are being sold along with all the subsisting licences, consents, permissions, registrations, approvals, grants and pending application in respect to the properties.

A senior official said the whole process will take around five months including bidding, and receiving payment from the winner.

Sahara lawyers had told the court that hotels in New York have been sold and soon money would be coming into the Sahara account after which Rs 1,500 crore would be deposited into the Sebi-Sahara refund account by September 7, as directed by the court.

Sahara has been engaged in a long-running battle with the Sebi.

The apex court on July 25 had asked the Sahara chief to deposit Rs 1,500 crore in the Sebi-Sahara account by September 7 and said that it might then deliberate upon his plea seeking 18 months more time for making complete repayment.