EIH Ltd's Oberoi hotel on Mukesh Ambani led Reliance Industries Navi Mumbai land, put on hold

EIH Ltd, which runs luxury hotel chains under Oberoi brand, has put on hold its plans for a project in Navi Mumbai, to be spread over 15-acre land owned by Mukesh Ambani-owned Reliance group.

The decision comes following the failure to get environmental clearance as the project falls under Coastal Regulation Zone.

In 2012, the Oberois inked a pact with Reliance to use the land for mixed-use development. It was part of a deal signed in 2010 wherein Mukesh Ambani acquired a significant stake in EIH Ltd to prevent a hostile acquisition by ITC.

“Our Navi Mumbai project has been put on hold. It got delayed due to Coastal Regulation Zone. The government is rightly concerned with how coastal areas are managed. But all the approvals have not been received,” Prithvi Raj Singh Oberoi, chairman of EIH Ltd, said after the annual general meeting of the company.

In April, the Union environment ministry issued a revised Coastal Zone Regulation Notification, 2018, with significant changes.

“All open spaces, parks, gardens, playgrounds indicated in development plans within CRZ-II shall be categorised as No Development Zone,” the Coastal Zone Regulation notification says.

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Oberoi has faced similar woes for its proposed project in Morocco as well.

“The project at Casablanca is also on hold for environmental clearances as it is close to the sea as well. The master plan of the development is undergoing a review by the Moroccan government,” Oberoi said.

Source: DNA