NACL working on plans to leverage Rs 5,000-cr realty

New Delhi: National Aviation Company (NACL), the newly-formed entity after the merger of two national carriers, Air India and Indian Airlines, is chalking out a plan to leverage its real estate and office space assets within the country and overseas—valued at over Rs 5,000 crore—to augment its revenue and also bring down its operational costs.
To start with, NACL expects to effect 50% savings in its annual rental outgo pegged at around Rs 150-170 crore by bringing Air India and Indian offices under one roof, both within the country and abroad.
“We would look at sharing office space. This will lead to better utilisation of our real estate assets,” a senior Air India executive told ET. The consolidation of office spaces used by Air India would help to augment revenues for the merged airline, allowing it to lease out additional space to corporates.
04/09/07 Sudipto Dey/Economic Times

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Categories: Air India - International Sep 2007, Air india Budget Sep 2007, Air India Domestic Sep 2007, NACL Sep 2007