Air India may lower prices of its properties to draw buyers
Air India could slash by as much as a quarter the base price of real estate assets including plots, apartments and a commercial tower it plans to auction, officials at the staterun airline said. Two years ago, the national carrier had put on the block as many as 111 properties with a cumulative price tag of Rs 9,500 crore, hoping to monetise assets to reduce its mounting debt. It has so far managed to sell only 32 of those, raising about Rs 1,000 crore, the officials said. In fact, several properties have been put on sale multiple times since, but failed to attract bidders even at the base price. For instance, it recently cut the price of a 2,000-square-metre plot in Mumbai’s Pali Hill, after trying to auction it six times for Rs 200 crore. The base price of a bungalow in Nairobi will also be reduced as it could not fetch any buyer so far.
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