NBCC (India) Limited and Mahanagar Telephone Nigam Limited (MTNL) have signed a memorandum of understanding (MoU) to develop a 13.88-acre property parcel on Pankha Road in New Delhi. The project, estimated at ₹1,600 crore, will transform the property into residential and commercial spaces.

"This project aims to transform the land into a state-of-the-art residential/commercial space, leveraging the expertise and resources of both organizations," according to the business in an exchange filing.

The proposal intends to combine NBCC's construction and development capabilities with MTNL's strategic asset base to produce a modern and dynamic property. This alliance exemplifies the expanding trend of public-private partnerships in India's real estate industry, which aim to revitalize critical urban areas and maximize the potential of underutilized assets.

The project is expected to include a mix of high-quality residential apartments and commercial amenities, helping to expand and modernize New Delhi's real estate landscape.

NBCC previously sold all of its office space at the World Trade Centre in Nauroji Nagar, New Delhi, for Rs 13,408.7 crore. The total value of office and commercial space auctioned by NBCC via e-auction was Rs 14,800 crore.

NBCC has also designated October 7 as the record date for determining whether stockholders are eligible for the bonus shares.

The bonus shares will be transferred to the qualifying shareholders' accounts within two months of the board's approval. NBCC shares closed 2.6% lower at Rs 175.75 on the BSE, while the benchmark Sensex fell 0.49%.