JM Financial Products Acquires ₹150 Crore Mumbai Office Space in Mulund Through NCLT Resolution

Non-banking financial company JM Financial Products has acquired substantial office space in Mumbai's Mulund suburb as part of a bankruptcy resolution process, marking a significant transaction in the city's eastern commercial corridor.

Major Office Space Acquisition in Eastern Mumbai

The investment-focused NBFC has secured ownership of over 142,000 square feet of office space distributed across four floors in an upcoming commercial tower. The company has been allocated floors 40, 41, 42, and 44 in the office wing of the project, with possession expected by December end.

The acquisition stems from a court-mediated corporate insolvency resolution process connected to the takeover of a previously stalled project that was originally promoted by Ariisto Realty. The ownership transfer was formalized on April 4, 2025.

₹150 Crore Market Valuation Through Structured Settlement

While the transaction was structured as a transfer rather than a direct sale, market sources value the office space at over ₹150 crore. This deal forms part of the resolution framework implemented when another real estate developer took over a long-delayed Ariisto Realty project in the eastern Mumbai suburb.

According to sources familiar with the matter, the transaction represents "a structured settlement reached during the resolution of liabilities involving multiple parties, where built-up commercial real estate was transferred in lieu of financial dues."

Background of Ariisto Realty's Financial Troubles

Ariisto, a Mumbai-based real estate firm with stalled residential and commercial projects in Mulund, entered corporate insolvency in November 2018 due to debt obligations ranging between ₹2,200-2,500 crore. The underlying land belongs to Avdhut Properties (APPL), a company affiliated with Ariisto.

In March 2021, the Mumbai bench of the National Company Law Tribunal (NCLT) approved a hybrid resolution plan proposed by a Bengaluru-based developer. Under this arrangement, the company committed to pay ₹370 crore in upfront cash and allocate 800,000 square feet of commercial space to creditors, effectively resolving ₹1,650 crore of liabilities.

Maharashtra's Largest Real Estate Resolution Success

The resolution plan, recognized as one of Maharashtra's largest real estate resolutions, benefits approximately 500 homebuyers and ensures project completion within a multi-year timeline. The arrangement grants creditors both cash settlements and built-up assets, creating a comprehensive solution for stakeholders.

A special purpose vehicle executing the project is currently developing this tower as the commercial component of its larger integrated township in Mulund. This development contributes to the growing Mulund property market and eastern Mumbai's commercial real estate expansion.

The successful resolution demonstrates how NCLT proceedings can effectively address complex real estate disputes while protecting homebuyer interests and ensuring project completion.