The Maharashtra government on Tuesday formally acquired the iconic Air India building, a defining feature of the south Mumbai skyline known for its prime sea-facing location, for Rs 1,601 crore.

The transfer of agreements between Air India Assets Holding Company and the state Public Works Department (PWD) was completed in the presence of Chief Minister Devendra Fadnavis in the Cabinet Hall at Mantralaya, or the state secretariat, following a cabinet meeting, an official release said.