Mumbai's Tulip Star Hotel property finds no takers

Potential bidders saw reserve price of Rs 1,315 crore as unreasonable

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Tulip Star Hotel (formerly known as Centaur) at Juhu which is up for sale is not able to manage any interested buyers.

Asset Reconstruction Company (India) Ltd (ARCIL) had scheduled its auction on Wednesday but received no response. Although ARCIL did sell six bid documents, no interest was seen due to high valuation of this six area sea facing property located adjacent to JW Marriott at Juhu. Potential bidders saw reserve price of Rs 1,315 crore as unreasonable as per a CNBC TV18 report.

Way forward for ARCIL would be to either extend the date of the auction or sell the property privately. Sources say, that the latter is more likely. We understand a private equity fund in consortium with a local developer has initiated talks with Mr. Ajit Kerkar, owner, V Hotels directly. V Hotel is an SPV of Tulip Star Hotels Ltd that owns the property.

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