Wadia group puts 691-acre Dunsandle Tea Estate in Nilgiris on the block
The Colonial-era estate, tucked away in the misty slopes of Sholur village near Ooty, is among the oldest and most picturesque tea estate properties in South India.
The Dunsandle Tea Estate (Photo: Bombay Burmah Trading corportation Limited website)
CHENNAI: In a move that could mark the end of an era in the Nilgiris’s storied plantation history, the 691-acre Dunsandle Tea Estate, owned by the Bombay Burmah Trading Corporation (BBTC) that is part of the Nusli Wadia-led group, is set to go under the hammer on November 6, multiple sources confirmed to DT Next.
The Colonial-era estate, tucked away in the misty slopes of Sholur village near Ooty, is among the oldest and most picturesque tea estate properties in South India. The Wadias, who also control Bombay Dyeing and Britannia Industries, are understood to be looking to monetise the prized land parcel held by the 162-year-old BBTC, one of India’s oldest conglomerates.
According to a person with knowledge of the matter, a senior executive from a Chennai-based diversified group recently met BBTC’s chief financial controller in Mumbai to explore a potential deal.
The proposed e-auction has already stirred interest among top plantation and conglomerate players, including the Tatas, Murugappa Group (Parry Agro), RPG Group (Harrisons Malayalam), ITC, Hindustan Unilever (HUL), and even Reliance Industries, sources said.
BBTC is reportedly seeking Rs 20 lakh per acre, though prevailing market estimates hover around Rs 50 lakh per acre, a valuation that could push the size of the deal to a whopping Rs 300 crore. The discounted pricing, insiders say, factors in the estate’s complex terrain and legal hurdles.
The property is undoubtedly quaint, but the drawbacks include a high-tension power line. Also, while it is scenic, especially because of the dense forests that surround Dunsandle, the estate land reportedly falls under the Indian Forest Act. Another issue is that its land title records remain contested, said sources. These encumbrances, along with restrictions on estate land usage, have added layers of complexity to the sale.
Earlier this month, the group appointed Cushman & Wakefield as the exclusive transaction manager for the auction of the property.
NILGIRIS NOSTALGIA
BBTC, incorporated in 1863, forayed into plantations in 1913
Today, it has 2,822 ha plantations, producing about 8 million kg tea annually
It is among India’s leading producers and exporters of naturally grown organic tea
The Dunsandle Estate, acquired soon after, remains one of south India’s earliest-planted, highest-elevation estates at over 6,000 feet above sea level
BBTC’s early ventures began in the Anamallai Hills (Coimbatore), followed by the Mudis Group of estates by 1926, comprising five estates and four factories across 1,863 ha
BBTC expanded south to form the Singampatti Group (three estates, 804 ha)
