NEW DELHI: Over three dozen real estate companies and consultancy firms, including DLF, Hines, Omaxe, Unity Group, Eldeco, Godrej and Oberoi Realty, have shown interest in the central government’s plan to explore options to monetise 60 acres of prime land in Sarojini Nagar to raise funds for redevelopment of seven government residential colonies. The builders on Monday urged the government to create necessary infrastructure at the five identified plots and have a flexible payment plan to attract private investment. The National Buildings Construction Corporation (NBCC) and the housing and urban affairs ministry held a detailed consultation with the private developers to find the best option for developing the plots for service apartments, hotels, malls and for residential and other commercial use. It said all approvals from agencies such as NDMC, fire, environment, DUAC and UTTIPEC are in place while the approval from forest department is in process. Sources said the government did not specify the revenue target, but is flexible with ideas for optimum utilisation of the prime land in the heart of Delhi. It said NBCC will soon float a tender inviting bids. TOI had on Saturday first reported about the government move to sell land plots for raising funds for redevelopment of government colonies. In the presentation, the government suggested how around 15 acres of prime land along the Ring Road is available for commercial development. It also gave examples of how the plots are much bigger than those on which major hotels such as Taj Palace (9.6 acre) and Maurya Sheraton (5.5 acres) have come up. It also cited how the size of the plots are bigger than some of the major malls in the national capital, including the Vegas which is spread over an area of around seven acres. “The officers told us that they are flexible to new ideas, including for mixed development of land parcels for their optimum utilisation. Some of the builders suggested that the payment option should be flexible and to ensure better government control, there can be an escrow account for all transactions,” said a builder who participated in the meeting. Harsh Vardhan Bansal, director, Unity Group, and convenor of CII Delhi sub-committee on Real Estate said, “We suggested that the development of mall and five star hotels can be taken up on Build-Operate-Transfer (BOT) mode where the government will get a fixed upfront fee and the successful bidder will pay the recurring annual rent to the government for the entire contract period. After the end of the contract, the hotel or mall will go back to the government and it can go for re-tendering.” Sources said the government informed the builders that it will also take up construction of a 13-km elevated road from INA to Mahipalpur for smoother traffic movement as these complexes come up.
Source: https://timesofindia.indiatimes.com/city/delhi/60-acres-in-heart-of-delhi-realty-bigwigs-eye-slice-of-sarojini-nagar/articleshow/94770438.cms