Hyderabad: With a Budget allocation of Rs 10 lakh, Hyderabad Metropolitan Development Authority (HMDA) is now depending on the town planning department to generate revenues for it. With several auctions of land in the pipeline, it is hopeful of netting Rs 2,000 crore in the next financial year, effectively surpassing the income of Greater Hyderabad Municipal Corporation (GHMC).
The municipal authority has decided to take over Rajiv Swagruha Corporation Limited from the TS Housing Board and sell flats for additional revenue. As a pilot project, it will auction 28 of 47 blocks in Rajiv Swagruha complex at Bandlaguda to raise around Rs 1,000 crore.
It is slated to e-auction 324 developed plots, comprising 223 plots, at Thorrur Layout in Hayathnagar (The Hub of Life at East City), and 101 plots at Bahadurpally layout in Medchal (The Hub of Life at North City). The plots are set to go under the hammer between March 14 and 17.
The planning body will take up the e-auctioning of plots through MSTC Limited. HMDA is hopeful of raising anything between Rs 400 crore and Rs 500 crore from the e-auction.
The HMDA will direct the highest bidder to pay the initial deposit of 25 per cent of the sale value of the plot within seven days. The bidder has to pay the balance amount within 90 days without interest. However, the highest bidder can opt for an instalment facility with 10 per cent annual simple interest up to 180 days excluding the period of the due date.
Apart from the land auctions, the municipal authority has set a target of Rs 800 crore by way of building and layout permissions.
A senior HMDA official, requesting anonymity, told Deccan Chronicle that the planning authority has set a target to surpass the GHMC annual income in the next financial year. He said that ever since the introduction of transferable development rights (TDR), which enables the transfer of development potential partly or fully from one plot to another, the income of the planning wing has come down to Rs 600 crore from Rs 1,000 crore.
On the contrary, the official said that the planning wing’s income has risen from Rs 400 crore to Rs 600 crore via building and layout permission. He said that the organisation will be sustainable at least for a few years.
