GMADA Nets Rs 1.36 Billion From Auction of 17 Properties

The Greater Mohali Area Development Authority (GMADA) managed to sell just 17 out of 72 residential and commercial properties listed in its latest auction, generating Rs 1.36 billion in revenue. A standout transaction was a 4.02-acre school site in Ecocity-2, which fetched Rs 590 million against a reserve price of Rs 579 million. The winning bid came from Blue Wing Education Society.

Two 500-square-yard residential plots in Sector 82, Alpha Block-B, IT City, were each sold for Rs 68.7 million—well above the reserve price of Rs 63.5 million. A 300-square-yard plot in Block-A of Ecocity-1 also exceeded expectations, drawing Rs 35 million compared to a reserve of Rs 30 million.

Residential plots of 500 square yards in the auction fetched between Rs 56 million and Rs 68.7 million, with final prices largely depending on location within IT City and Ecocity-1.

Despite these successful sales, the auction saw limited overall participation. Remaining unsold were 13 booths, 15 shop-cum-offices (SCOs), two hotel sites, two commercial plots, and another school site.

GMADA Chief Administrator Vishesh Sarangal remained optimistic, stating, “The auction received a good response, and we are hopeful of selling the remaining sites in the next round.”

However, Shalinder Anand, former president of the Mohali Property Consultant Association, attributed the lukewarm outcome to steep reserve prices and frequent auctions. “The reserve prices are high, and with monthly auctions, there just aren’t enough buyers. Similar plots are also available at lower prices in the open market,” he said.

The subdued response follows an April auction in which GMADA sold only two group housing plots (totalling 12.23 acres) out of six (48.72 acres), collecting Rs 4.04 billion—well below the total reserve price of Rs 12.15 billion.

In contrast, GMADA posted record revenues in earlier events. Its March e-auction fetched Rs 19.87 billion from 368 properties, while a Diwali auction last year brought in Rs 18.94 billion from 345 sites.

The latest results reflect growing signs of market saturation and buyer caution in the region’s real estate sector, despite continued efforts by GMADA to unlock land value through regular auctions.


Related Stories

MHADA Slashes EWS Home Prices in Thane Scheme
Brigade Plans Rs 21 Bn South Chennai Housing Scheme
Saya, Lemon Tree To Run 336 Business Suites In Noida