Priyanka Kakodkar/NDTV

Mumbai, May 22: II Palazzo was among the city's first high-rises and was once home to the Birlas. Now the 21-storey building is in the spotlight for the country's most expensive real estate deal.

A three bedroom flat here has sold by Citibank for Rs 30 crores. The buyers are actor turned MP Vinod Khanna and his wife Kavita who belongs to a prominent business family.

Khanna already has another flat in the building. Among his neighbours are stockbroker Rakesh Jhunjhunwala.

The Little Gibbs road on Malabar Hill is home to the country's wealthiest people and this deal is a sign of just how expensive real estate is in India's financial capital.

Il Palazzo might be at the top of the heap but south Mumbai has seen big-ticket deals over the last two years with posh addresses raking in crores like Usha Kiran on Altamount Road and NCPA Apartments at Marine Drive.

But real estate analysts are cautious and say these mega deals don't reflect average prices in Mumbai.

"This is an aberration which reflects the snob value of the building. This is not reflective of the price of most transactions," said Pranay Vakil, Chairman, Knightfrank.