Radhakishan Damani, the promoter of DMart, and his brother Gopikishan Damani closed one of the biggest property deals seen in India during recent times where they paid Rs 1,001 crore for an independent house in Mumbai's posh Malabar Hills neighbourhood.
The house has an area of 5,752.22 square metres or 61,916 square feet. This amounts to a rate of Rs 1,61,670 per square feet, making it one of the most expensive real estate deals in recent years.
Damani reportedly finalised the purchase on March 31, the last day when Maharashtra government's reduced 3 per cent stamp duty on residential real estate was in effect. On August 26, 2020, Maharashtra government had reduced the stamp duty on houses from 5 per cent to 2 per cent till December 31, 2020. From January 1, 2021, this was raised to 3 per cent. On March 31, the state government said that it would not continue the reduction in stamp duty any further and kept the ready reckoner rates unchanged for the financial year 2021-22.
As per the existing ready reckoner rates applicable in Maharashtra, the value of the property is Rs 723.98 crore. The Damani brothers paid Rs 30 crore as stamp duty for the two-storey house.
Damani bought the house from Saurabh Mehta, Varsha Mehta, and Jayesh Shah, according to reports.
Damani also owns a property on Mumbai's Altamount Road, which is likened to London's Billionaires' Row.
Avenue Supermarts, which runs the retail chain DMart, recently bought two floors of 3,900 square feet carpet area in one of Wadhwa group's under-construction project for Rs 113 crore. Damani is also known to have bought an 8-acre land parcel from Mondelez India, formerly Cadbury India, for Rs 250 crore.
According to Hurun India Rich List 2021, Damani has a net worth of Rs $14.5 billion, making him the eighth richest Indian. His company Avenue Supermarts posted an unaudited consolidated net profit of Rs 446.95 crore for the December quarter of last fiscal, with an increase of 16.3 per cent.