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GHMC set to lease iconic properties to raise funds

The move to enhance revenue; Hari Hara Kala Bhavan, Buddha Bhavan among properties to be handed over

HYDERABAD: In a desperate attempt to increase its revenue, the Greater Hyderabad Municipal Corporation (GHMC) has decided to give away its estate properties to private players for lease. A high-level meeting has decided to hand over 2,000 properties in the civic body limits, which also include vacant lands, for a period of 25 years or 99 years. The private agencies have to develop them and derive income by starting commercial activities.

The properties include Hari Hara Kala Bhavan, a well known cultural centre in Secunderabad, Buddha Bhavan complex at Abids, a couple of complexes at Ameerpet and in the Old City, and sports complexes which are spread over two to 5 acres of land. Officials are confident of generating at least Rs 100 crore income annually, as against the Rs 3 crore income they were earning as rents.

Surprisingly, according to highly placed sources in the corporation, the GHMC is not even aware of the properties and lands given for lease decades ago. Some private persons, exploiting the lease agreement, are using the land and properties for commercial purposes. Sources said the officials did not even make field visits to safeguard the GHMC's properties. For instance, the GHMC handed over 16,940 yards land for lease to Film Nagar Cultural Centre (FNCC) to construct a recreation club for actors but several unauthorised buildings came up in the area.

Sources also said the corporation, in 1996, handed over the land for mere Rs 5,000 whereas the same land value increased to over Rs 2 crores. Similarly, the corporation which gave more than 18 acres in 1988 for a 99-year lease to construct Mahatma Gandhi Bus Station has not collected any rent from it.

According to the lease agreement, the corporation gave permission to construct toilets, hotels and dormitories to facilitate citizens. But violating the agreement, the TSRTC gave sublease to private persons to maintain commercial establishments, ATMs and others. They also claim that the TSRTC alone owes the corporation about Rs120 crore for the past seven years while it has been generating Rs 3 crore monthly revenue in the form of subleases.

According to the Town Survey Land Records (TSLR) of the Hyderabad collectorate, there are 275 lease lands. Of 275 leased lands, the GHMC estate wing could trace only 104 files. Of 91 leased properties, 50 are in the central zone and 32 are in the north zone. However, these details were only found only on records but not the ground. The corporation officials were reluctant to provide details and said 18 lands were of 50 square yards which could make no difference to the civic body.

When queried about the same subject, a senior GHMC official said that in order to safeguard the properties, they would geo-tag the estate properties. He said some properties had been used by private persons for commercial purposes. In order to avoid such problems, the corporation was planning to lease out all its estate properties to private players, he said, adding that the private players who rent the properties would develop it and could operate them commercially.

Asked about the total number of properties, the official said that the corporation had over 3,000 lands and properties. He said there were mere five employees in the estate's wing against the requirement of at least 30. The corporation, by next financial year, would earn at least Rs 100 crore revenue per year in the form of rents and as of now it was generating less than Rs 3 crore.

*Infographics

* GHMC owns 2,229 markets, 874 complexes and 91 lease lands as per record books

* Most of these properties will be handed over to private players for development

* Properties to be handed over to private players include Hari Hara Kala Bhavan, Buddha Bhavan complex at Abids, complexes in Ameerpet and Old City.

* Sports complexes spread over 2 to 5 acres will also be given for development

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