Orissa may cancel unitech agreement
The Orissa government today said that it may cancel the agreement with ‘Unitech’ for a 10.74 acre land in Bhubaneswar, if any developer bids more than the reserve price for the land, which has been put up for retendering after the real estate major defaulted in its payment to the Bhubaneswar Development Authority (BDA)
Unitech was selected to construct a commercial complex on the plot through an open tender in 2007 after the state government decided to develop the property on public-private-partnership mode. Unitech had then quoted the highest price of Rs 211 crore for the 10.74 acre land.
As per the tender condition, the company had deposited Rs 52.75 crore (which is one fourth of the full amount) upfront and signed an agreement with BDA. The remaining money was to be paid in next four months.
More : business-standard.com