TheMaharashtragovt has initiated discussions with Air India to purchase its iconic building located in the Nariman Point area of the city.

The debt-ridden AI had floated tenders for the sale of the 23-storey building in 2018, which stands on stategovernmentland, but failed to evoke a good response. AI officials toldKuntethat their internal valuation of the building was more than Rs 2,000 crore to which Kunte asked them to share it with the state govt, official sources said. An official said that the govt had written to AI, quoting a price of Rs 1,450 crore. The actual price would have been around Rs 1,100 to Rs 1,200 crore since the govt dues from AI are around Rs 300 crore.