U.S. Government to Sell Real Estate Properties in India

Some prime properties owned by U.S government

Anckur Srivasttava, chairman of Gen-Real Property Advisors, cited that "Many foreign governments get reviews done intermittently. While a level-1 analysis is for compliance and regulatory reporting purposes, a level-2 analysis, which includes both a strategic review and valuation, could include sale of some assets," reports Economic Times.

In India, several real estate properties in prime localities are owned by U.S government. Such prime places are Delhi, Mumbai, Hyderabad, Chennai and Kolkata, that houses U.S government properties like commercial office buildings, schools and also residential properties.

For instance, there are some highly protected buildings in the diplomatic area in Delhi such as the two-acre bungalow on Tilak Marg, the American Centre on Kasturba Gandhi Marg, the American School as well as few residential apartments extends across South Delhi.

In Kolkata, U.S government’s American Centre is placed near to Esplanade area and the consulate building is on Ho Chi Minh Sarani Road, both are counted as posh localities in the city of Kolkata. Also, the U.S government has a commercial property in Chennai’s posh Anna Salai Road.

Over the past few years, the country is witnessing the sale of some other government’s real estate properties as well. Back in the year 2006, a bungalow was sold by Dutch Embassy on Amrita Shergill Marg in New Delhi’s Lutyens Bungalow Zone to the Chairman of Bhusan Steel, Sanjay Singhal. The bungalow was valued at 137 crore.

Alpana Killawala, a spokeswoman for the Reserve Bank of India, stated that "In terms of Regulation 5A of FEMA 21, foreign embassies, diplomats and consulate generals have general permission for sale and purchase of immovable property other than agricultural land and plantations in India subject to necessary clearances from the ministry of external affairs, and provided that the consideration is paid out of funds remitted from abroad through normal banking channels.” But, Killawala made no such clarification whether foreign governments are allowed to take home the profits fetched from such deals, reports Economic Times.