Ramesh Govani: Meet the reclusive owner of Kamala Mills
, ET Bureau|
Jan 03, 2018, 08.17 AM IST
MUMBAI: With the recent incident of fire at Kamala Mills, the spotlight is now on the reclusive builder, Ramesh Govani, who owns the erstwhile mill land that has been transformed into a prominent commercial hub of Mumbai over two decades.
Belonging to a Marwari business family originally from Bhinmal in Rajasthan, Ramesh and his brother Kanti had bought the textile mill on Tulsi Pipe Road in the 1990s to operate it as just that — a textile plant.
In his 50s now, Ramesh had tried to operate Kamala Mills as a textile business for nearly five years, sticking to the understanding he had with erstwhile owners and the mill workers' union. However, the business continued to bleed and he decided to cut workforce and use the front portion of the mill premises to develop first a light industrial estate, and later, data-processing centres.
Meanwhile, the textile mills operations continued in certain parts of the compound, but were shut down completely later after workers' dues were settled. Govani, who is usually attired in white kurta pyjamas, already had experience in real-estate development as his father was a small property developer and also dealt in the lending business back home in Rajasthan.
In late 1990s, he realised several financial institutions were looking for centrally located offices at a cheaper cost compared to the then most-expensive office location of Nariman Point. Buildings inside Kamala Mills had been coming up regularly, but there was no comprehensive layout, plan.
After this, the two brothers acquired the adjacent Victoria Mills on Pandurang Budhkar Marg, opposite the Hard Rock Cafe. Both the land parcels were then amalgamated, and a few more structures came up. The current Kamala Mills premise is a merged land parcel and many offices in buildings here are sold on outright basis to investors and endusers, while some are leased.
Interestingly, Ramesh Govani is currently constructing an exclusive food and beverages block at the main entrance of Kamala Mills. This facility would have about 45,000 sq ft of carpet area. The brothers have parted ways two years ago, and the former now owns Kamala Mills, while the latter controls buildings on Victoria Mills land parcel. Ramesh Govani keeps a low profile.
Despite success in realty, he has not diversified into any other business. In early 2000, he used to flatly refuse offers from various bankers and wealth managers to leverage monthly rental earnings of around Rs 4 crore.
At the same time, he continued to buy rights to redevelop old properties irrespective of sizes in Bandra, Khar and Santacruz. A few of these land parcels are currently under litigation. He also owns some land parcels in South Mumbai and is part of a joint venture in a real estate project in Delhi. Insiders say that given his sharp business and legal acumen, it is unlikely that he will get entangled in any long-drawn litigation.
Belonging to a Marwari business family originally from Bhinmal in Rajasthan, Ramesh and his brother Kanti had bought the textile mill on Tulsi Pipe Road in the 1990s to operate it as just that — a textile plant.
In his 50s now, Ramesh had tried to operate Kamala Mills as a textile business for nearly five years, sticking to the understanding he had with erstwhile owners and the mill workers' union. However, the business continued to bleed and he decided to cut workforce and use the front portion of the mill premises to develop first a light industrial estate, and later, data-processing centres.
Meanwhile, the textile mills operations continued in certain parts of the compound, but were shut down completely later after workers' dues were settled. Govani, who is usually attired in white kurta pyjamas, already had experience in real-estate development as his father was a small property developer and also dealt in the lending business back home in Rajasthan.
In late 1990s, he realised several financial institutions were looking for centrally located offices at a cheaper cost compared to the then most-expensive office location of Nariman Point. Buildings inside Kamala Mills had been coming up regularly, but there was no comprehensive layout, plan.
After this, the two brothers acquired the adjacent Victoria Mills on Pandurang Budhkar Marg, opposite the Hard Rock Cafe. Both the land parcels were then amalgamated, and a few more structures came up. The current Kamala Mills premise is a merged land parcel and many offices in buildings here are sold on outright basis to investors and endusers, while some are leased.
Interestingly, Ramesh Govani is currently constructing an exclusive food and beverages block at the main entrance of Kamala Mills. This facility would have about 45,000 sq ft of carpet area. The brothers have parted ways two years ago, and the former now owns Kamala Mills, while the latter controls buildings on Victoria Mills land parcel. Ramesh Govani keeps a low profile.
Despite success in realty, he has not diversified into any other business. In early 2000, he used to flatly refuse offers from various bankers and wealth managers to leverage monthly rental earnings of around Rs 4 crore.
At the same time, he continued to buy rights to redevelop old properties irrespective of sizes in Bandra, Khar and Santacruz. A few of these land parcels are currently under litigation. He also owns some land parcels in South Mumbai and is part of a joint venture in a real estate project in Delhi. Insiders say that given his sharp business and legal acumen, it is unlikely that he will get entangled in any long-drawn litigation.
