Bangalore: Air India's plan to monetise real estate worth Rs 5,000 crore has failed to take off because the state-run carrier has been unable to locate the ownership documents of most of the properties it has shortlisted for sale. "Transactions are getting delayed because the ownership documents for a large number of properties that are expected to be monetised are missing," a person with direct knowledge of the matter told ET.
"This has created a backlog ofRs 1,000 crore through property sales for the last fiscal and this fiscal. The airline is expected to raise the amount by liquidating five assets this fiscal, but any transaction this year is unlikely," added the person. Air India did not reply to a detailed questionnaire emailed by ET. The carrier had earlier said it was looking to sell land assets over 10 years and that it was scouting for top real estate consultants with wide experience in India and abroad for the purpose. In its 2012 tender document, it had said it would develop a land bank through joint ventures and lease surplus land at both international and domestic airports.
29/07/13 Sobia Khan/Economic Times
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"This has created a backlog ofRs 1,000 crore through property sales for the last fiscal and this fiscal. The airline is expected to raise the amount by liquidating five assets this fiscal, but any transaction this year is unlikely," added the person. Air India did not reply to a detailed questionnaire emailed by ET. The carrier had earlier said it was looking to sell land assets over 10 years and that it was scouting for top real estate consultants with wide experience in India and abroad for the purpose. In its 2012 tender document, it had said it would develop a land bank through joint ventures and lease surplus land at both international and domestic airports.
29/07/13 Sobia Khan/Economic Times
