NBCC & RINL Sign MoU to Monetize Land in Visakhapatnam
NBCC India Ltd, erstwhile National Buildings Construction Corporation, and Rashtriya Ispat Nigam Limited entered into a MoU for redevelopment and
NBCC India Ltd, erstwhile National Buildings Construction Corporation, and Rashtriya Ispat Nigam Limited entered into a MoU for redevelopment and monetisation of land parcels at Maddilapalem in Visakhapatnam on 26 February 2021. As per the MoU, the redevelopment and monetisation works is to be carried out by NBCC on self-sustainable model. The valuation of the project will be determined on the basis of analysis and a detailed project report shall be prepared thereon by NBCC. The project report will be then submitted to the RINL by NBCC. NBCC shall be paid Project Management Consultancy fee @7% of the estimated & approved project cost or actual project cost, whichever is lower. NBCC shall also be paid Project Marketing fee @1% of actual sale proceeds on account of expenditure towards appointment of real estate consultant, publicity, marketing, sale etc of commercial and residential spaces.
However, as per media reports “RINL is selling its 22.19 acre land property to NBCC under an agreement. The land is situated in Vishakhapatnam in Andhra Pradesh. From the sale of their 22.19 acre of land, RINL is anticipating to gather INR 1000 crores. The current Market price of the land is roughly INR 1 lakh per square yard.”
A beach is also located near the property and is hardly 3 to 4 Km away. The exotic land property also connects with NH-16 highway which connects West Bengal’s Howrah to Chennai, within 2 Km distance. Likewise, the property is close to various tourist spots, which include the famous Simhachalam Temple, a Zoo, stadium and various other spots.