CM’s announcement of selling BDA corner sites kindles hope for MUDA to rake in revenues
By S.T. Ravikumar
Mysore/Mysuru: Karnataka Chief Minister B.S. Yediyurappa recently said the ongoing lockdown has resulted in deep financial trouble for the State. He said that the Cabinet had decided to auction around 12,000 corner sites (sites that are located at the corner of a road) owned by the Bengaluru Development Authority (BDA), to mobilise funds to tackle the situation.
“The COVID-19 situation has thrown our State into deep financial trouble and there is a need to find ways to overcome the present financial crisis. By auctioning corner sites in Bengaluru, we are expecting to mobilise around Rs. 14,000-15,000 crore,” he added.
The Chief Minister’s announcement of site auction has turned music to the ears of Mysuru Urban Development Authority (MUDA) that is fully geared up to rake in some moolah to ease its cash-strapped situation and also generate revenue for the State that is battling Coronavirus.
MUDA is looking to meet administrative, plan expenses and other financial requirements through site auction. After Bengaluru, Mysuru has the highest number of corner and commercial sites, with MUDA that deals with site allotments in the city, having more than 600 corner sites of various dimensions in its kitty.
The MUDA has identified these sites after Correct Dimension Report (CDR) prepared during the allotment of residential plots in layouts formed by it and land allotments made to private developers and builders for formation of private layouts. MUDA right now is in possession of more than 100 corner sites that are ready for auction.
MUDA officials hope to rake in huge revenues by auctioning these prime commercial corner sites. However MUDA officials maintain that although Chief Minister Yediyurappa has spoken of selling available corner sites at Bengaluru, they are yet to receive any directive in this regard.
Though the MUDA auctions corner and premier sites as per availability now and then by issuing notifications, this time they are waiting for the Government directions.
Apart from the corner sites, MUDA has 26,147 intermediate sites, out of which 9,508 sites have not been allotted. Besides, MUDA has 530 CA (civic amenities) sites and right now it has the power to cancel the allotment of 1,255 sites for violation of norms and conditions.
By auctioning all the corner, intermediate, cancelled, unallotted and civic amenities sites, the MUDA hopes to collect huge revenues. The MUDA can specifically earn more than Rs.100 crore through the auction of the over 100 corner sites that are readily available with it.
Following Yediyurappa’s announcement that the Government plans to sell corner and other premium sites that are in possession of urban local bodies across the State, MUDA has begun the process of collecting complete statistical details of all such corner sites through its zonal officers.
This post was published on April 16, 2020 6:42 pm