Schloss Bangalore to Develop Luxury Hotel in Mumbai's BKC with ₹1,302 Crore MMRDA Plot

The Mumbai Metropolitan Region Development Authority (MMRDA) has allotted a prime 2.1-acre commercial plot in Bandra-Kurla Complex (BKC) to Schloss Bangalore (The Leela) for the development of a luxury hospitality project. The consortium, backed by Brookfield Asset Management, will pay a lease premium of ₹1,302 crore for this strategic location.

Mixed-Use Development Plans Unveiled

The hospitality company, which owns and operates the renowned Leela Palaces, Hotels and Resorts chain, has announced plans to develop a comprehensive mixed-use project on the allocated plot. The centerpiece of this development will be a 250-key luxury hotel, adding to BKC's growing portfolio of premium hospitality offerings.

According to company representatives, the payment structure for the lease premium has been structured in phases. Twenty-five percent of the total lease premium amount must be paid within two months of receiving the allotment offer, while the remaining seventy-five percent is due within ten months thereafter. The MMRDA will hand over possession of the plot only after the complete payment of the lease premium.

The Leela's Legacy in Indian Hospitality

The Leela Palaces, Hotels and Resorts trace their origins to The Leela Group, which was established and named after founder C. P. Krishnan Nair's wife. Captain Nair's entrepreneurial journey in hospitality began when he purchased eleven acres of land near his residence in Sahar Village, Mumbai, to construct his maiden hotel venture.

The first property, The Leela Mumbai, opened its doors in 1986 and held the distinction of being the first luxury hotel in proximity to what is now known as the Chhatrapati Shivaji International Airport. This strategic positioning established the foundation for the brand's future expansion across India.

Currently headquartered in Mumbai, The Leela Palaces, Hotels and Resorts operates under the ownership of a Brookfield Asset Management-sponsored private real estate fund. The company maintains twelve award-winning properties strategically located across major cities and leisure destinations throughout India.

Expanding Portfolio Across India

The Leela's current portfolio spans multiple prime locations including the flagship property in New Delhi, along with establishments in Bengaluru, Chennai, Udaipur, Jaipur, Gurugram, East Delhi, Mumbai, Gandhinagar, Kovalam, and Ashtamudi. This extensive network positions the brand as a significant player in India's luxury hospitality sector.

Brookfield's Global Investment Reach

Brookfield Asset Management Ltd., the Canadian-American alternative asset manager backing this venture, has established itself as a major force in global investment management. The company emerged in December 2022 as a spin-off from the asset management operations of Brookfield Corporation.

Initially headquartered in Toronto upon its inception, the company made a strategic move to New York City in December 2024. Brookfield Asset Management maintains a 13.8 percent ownership connection with Brookfield Corporation, reflecting the continued relationship between the two entities.

Under the leadership of Chief Executive J. Bruce Flatt, who simultaneously serves as the chief executive of Brookfield Corporation, the company has achieved remarkable growth. By late 2024, Brookfield Asset Management's managed assets reached the significant milestone of US$1 trillion, positioning it among the world's largest investment firms.

BKC's Growing Commercial Significance

The allocation of this prime plot in BKC represents another milestone in the district's evolution as Mumbai's premier business and luxury destination. The development of additional luxury hospitality infrastructure is expected to further enhance BKC's appeal to international businesses and high-net-worth individuals.

This investment also reflects the continued confidence of global asset managers in Mumbai's real estate market, particularly in premium commercial and hospitality segments.

Disclaimer: This news article is based on available information and reports. Readers are advised to verify details independently and consult relevant authorities for the most current and accurate information regarding this development project and investment details.