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MTNL sells BKC leasehold rights to Nabard for ₹350.72 crore
MTNL has transferred the leasehold rights of its Bandra Kurla Complex property to Nabard for ₹350.72 crore, with the 80-year lease reduced by transferring the remaining 52 years. The deal is part of MTNL's asset monetisation efforts as it faces financial strain, debt buildup, and a shrinking subscriber base. Approvals came in late 2025 and early 2026, with formalisation in May 2026 and reporting in mid-May 2026.
Why It Matters
The transaction highlights ongoing asset monetisation by a cash-strapped public sector company and reflects the growing role of PSUs in expanding their presence in Mumbai's business district.
Timeline
4 Events
Publication of HT report on the sale
May 16, 2026
The HT report on the sale notes the broader context: MTNL's financial stress with debt over ₹36,000 crore and a shrinking subscriber base to 81,337 as of March 2026, with the sale fitting MTNL's ongoing real estate monetisation strategy.
Deal formalised for ₹350.72 crore
May 2026
The sale of MTNL's BKC leasehold rights to Nabard for ₹350.72 crore was formalised in May 2026, covering a 2,680 sq m plot in GN Block with a built-up area of 4,021.43 sq m; MTNL will transfer the remaining 52 years of the 80-year lease.
MMRDA signs off on lease transfer to Nabard
February 2026
The Mumbai Metropolitan Region Development Authority (MMRDA) signed off on MTNL's lease transfer of the BKC plot to Nabard in February 2026; the lease was originally granted to MTNL in April 1998 for 80 years, and MTNL will transfer the remaining 52 years of the lease.
MTNL approves sale of BKC leasehold rights to Nabard
December 2025
MTNL approved the sale of the Bandra Kurla Complex leasehold rights to Nabard in December 2025 as part of MTNL's asset monetisation plan.