Government Approves Transfer of Air India Mumbai Building to Maharashtra for Rs 1,601 Crore

The Centre has given the green light for the transfer of the Air India building in Mumbai from AI Assets Holding Company Ltd to the Maharashtra government. The transfer is set at a price of Rs 1,601 crore.

As part of the deal, the Maharashtra government has agreed to waive off dues amounting to Rs 298.42 crore that AI Assets Holding Company Ltd would have had to pay to the Department of Investment and Public Asset Management (DIPAM).

This move holds significance for Maharashtra as the Air India building is strategically located near ‘Mantralaya,’ the state government’s administrative headquarters.

Previously, AI Assets Holdings Ltd had turned down an offer from the Maharashtra government for office accommodations within the building.

The transfer of the Air India building is part of the Air India divestment plan, where the government took on the airline’s debt and assets, including non-core assets like office buildings and housing colonies. These assets were valued at Rs 14,718 crore in 2021.

This decision reflects the government’s efforts to optimize asset utilization and promote administrative efficiency within Maharashtra.