Central Bank cuts Thane land reserve price to ₹1,375 crore for Go First recovery

The Central Bank of India has reduced the reserve price of a 94.71-acre land parcel in Bhayanderpada on Ghodbunder Road, near Ovale Village in Thane, to ₹1,375 crore for an upcoming e-auction. Scheduled for August 20, the fresh auction is part of efforts by a consortium of lenders to recover outstanding dues linked to the defunct airline Go Airlines (India) Limited, formerly known as GoAir.

Wadia Realty Private Limited, a part of the Bombay Dyeing Group, is the owner of the land parcel, acting as the mortgagor and corporate guarantor for the grounded airline.

The consortium of lenders seeking the recovery includes the Central Bank of India, Bank of Baroda, Dena Bank (prior to its merger with Bank of Baroda), and IDBI Bank. According to the sale notice, Go Airlines owes the consortium a total of ₹3,918.55 crore, which includes both the principal amount and outstanding interest. The banks are seeking to recover these dues under the provisions of the SARFAESI Act.

This marks another reduction in the property's reserve price after multiple previous auction attempts failed to attract buyers. In July 2024, the reserve price was set at ₹1,965.70 crore. It was later reduced to ₹1,604 crore in December 2025, and then to ₹1,525 crore in June 2026. The price has now been lowered to ₹1,375 crore for the August 20 e-auction.

Go First voluntarily filed for insolvency in May 2023 after grounding nearly half of its fleet due to faulty Pratt & Whitney engines, which severely impacted its operations. An Indian tribunal ordered the complete liquidation of the airline in January 2025 after attempts to secure investors and revive the company failed. The airline's total dues to all lenders, including Deutsche Bank AG, stood at ₹6,521 crore during the insolvency proceedings.

The Thane land parcel has a history of attempted transactions. In 2017-18, DB Realty (now known as Valor Estate) explored acquiring the property when the Wadia group sought to sell it for approximately ₹600 crore. However, negotiations fell through because the Wadias wanted an outright sale while DB Realty proposed a joint venture structure with a payment of about ₹350 crore.