Only 4 Of 8 Plots Sold, Real Estate News, ET RealEstate

July 5, 2023

AHMEDABAD: The ambitious plan of the Ahmedabad Urban Development Authority (Auda) to sell 17 plots for Rs 1,238.35 crore is turning into a disaster. In its first the first phase of the auction, only four plots with base prices totalling Rs 150 crore were sold, out of the eight, whose base prices totalled Rs 561.28 crore, in the auction held on June 30 and July 1.

Strangely, no one showed interest in two of the most expensive plots in Vejalpur, which had base rates of Rs 2.84 lakh per square metre and base values of Rs 270.62 crore and Rs 86.35 crore.

Sources in Auda told TOI that bidders were scared away by the high prices and uncertainty over the new jantri rates, which were announced and revised several times by the state government. The new jantri rates were declared on February 11 to be effective from April 15. On March 9, Auda’s land disposable price fixing committee met and valued the 17 plots for sale.

The only plots that were sold were two in Manipur-Godhavi, with the lowest base rates and largest area, and two in Chandkheda, with relatively small areas. Bidders registered for only five of the eight plots on auction.

Auda avoided auctioning six plots in Bopal, which were part of the original 17 planned for sale. Auda had approved the sale of these plots in May last year, hoping to cash in on the booming real estate market.

Auda’s hopes were dashed as the auction turned into a flop show. Auda has not officially announced the details of the auction yet, but insiders say it was a huge embarrassment.

“Auda had put up eight plots for sale. Two were in Vejalpur for commercial use, with base rates of Rs 2.84 lakh and Rs 2.72 lakh per square metre,” said a senior Auda official. Their base values were Rs 270.62 crore and Rs 86.35 crore, adding up to Rs 356.97 crore. No one registered to bid for these plots, so they were not auctioned.

Two plots were in Manipur-Godhavi, with the biggest areas of 16,647 square metres each. Their base rate was Rs 35,200 per square metre, for a value was Rs 60 crore each. They were sold for just slightly higher. Two plots in Chandkheda, with smaller areas, were also sold.

  • Published On Jul 5, 2023 at 09:44 AM IST

Join the community of 2M+ industry professionals

Subscribe to our newsletter to get latest insights & analysis.

Download ETRealty App

  • Get Realtime updates
  • Save your favourite articles

Scan to download App

Source link

Abhay Singh

Web Developer

Leave a Comment