Lutyen's Delhi property prices touch new high

Lutyen's Delhi's property price may touch a new high. At Rs 170 crore (or Rs 29,514 per square feet), the asking price for outright purchase of 32, Ferozeshah Road, is perhaps the highest ever for a much sought address in the heart of the national capital.

Spread over 1.32 acres, and with a built-up area of 18,000 square feet, this two story bungalow on a rectangular plot, is at the very edge of the eastern end of Lutyen's Bungalow Zone (LBZ).

Going by the last available deal in this area, the acquisition of the 2.26 acre freehold property of 4, Tees January Marg by the Ruia's of Essar for nearly Rs 92 crore last October; the asking price is more than double.

Even the July 2006 purchase by Bhushan Steel of a one-acre property at Amrita Shergil Marg was for Rs 137 crore,

The eventual buyer will have to pay extra for 'free-holding' the plot as well as registration formalities.

The property has already started to attract a number of high networth buyers. D K Gupta, the broker, told Business Standard that the property belonged to a society, not an individual. "It is a lease hold plot and can be converted into freehold. The society that owns the property is the first allottee", he said.

Lutyen's bungalows are the highest priced residential properties in the country. There are 1,000 bungalows in Lutyens Zone and 95 per cent of these are owned by the government and various agencies. The area is also home to the high and mighty - the who's who of Indian industry.

The buyer of 32, Ferozeshah Road, will join the likes of Sunil Mittal of Bharti, KP Singh of DLF, Naveen Jindal of Jindal Steel and Power as well as erstwhile royalty.

Real estate experts attribute the escalating prices to the lack of supply in Lutyen's Delhi. Due to this, there is no way of determining prices, with the last deal becoming a sort of a benchmark for the next.