+
Centre boosts efforts to hive-off surplus land
Real Estate

Centre boosts efforts to hive-off surplus land

The central government has increased efforts to hive off surplus land and is going to seek cabinet approval soon for setting up a specialised entity which is a special purpose vehicle (SPV), after revealing the asset monetisation programme worth Rs 6 lakh crore to take care of such transactions for ministries, departments and state-run companies.

The entity will also manage the land transactions of state-run firms that are facing closure or are closed. The government has been experimenting with multiple models to monetise land for the past four years, and it seems to have finally decided to implement.

Finance Minister Nirmala Sitharaman suggested an SPV in the form of a company to monetise non-core assets, which is mainly surplus land of ministries, departments and PSUs in the Budget. She told the media that monetising land can either be by direct sale or concession or by similar means and that it requires special abilities for the purpose while proposing SPV.

A senior government official told the media that the new entity would take care of land transactions for PSUs and other government agencies for a fee and would act as an agency where land assets will be pooled before being sold off.

He also said that various PSUs that are on the verge of privatisation are in the process of hiving off non-core assets, including buildings and land, such as BEML and Air India, and that selling off surplus land as well as building and apartments is also being explored by two telecom PSUs MTNL and BSNL as part of the process of restructuring.

The official mentioned that the lack of capacity in undertaking transactions linked to government land had delayed the process under the current conditions and that the new entity would be staffed with domain experts and also the people trained in complex transactions.

NBCC has undertaken some transactions by selling off surplus land and utilising the proceeds to build accommodation for government employees and commercial space.

Image Source


Also read: Telangana sets Rs 25 cr as upset price for land auction in Greater Hyd

Also read: EOW issues notice to Bhopal smart city corp over land auction

The central government has increased efforts to hive off surplus land and is going to seek cabinet approval soon for setting up a specialised entity which is a special purpose vehicle (SPV), after revealing the asset monetisation programme worth Rs 6 lakh crore to take care of such transactions for ministries, departments and state-run companies. The entity will also manage the land transactions of state-run firms that are facing closure or are closed. The government has been experimenting with multiple models to monetise land for the past four years, and it seems to have finally decided to implement. Finance Minister Nirmala Sitharaman suggested an SPV in the form of a company to monetise non-core assets, which is mainly surplus land of ministries, departments and PSUs in the Budget. She told the media that monetising land can either be by direct sale or concession or by similar means and that it requires special abilities for the purpose while proposing SPV. A senior government official told the media that the new entity would take care of land transactions for PSUs and other government agencies for a fee and would act as an agency where land assets will be pooled before being sold off. He also said that various PSUs that are on the verge of privatisation are in the process of hiving off non-core assets, including buildings and land, such as BEML and Air India, and that selling off surplus land as well as building and apartments is also being explored by two telecom PSUs MTNL and BSNL as part of the process of restructuring. The official mentioned that the lack of capacity in undertaking transactions linked to government land had delayed the process under the current conditions and that the new entity would be staffed with domain experts and also the people trained in complex transactions. NBCC has undertaken some transactions by selling off surplus land and utilising the proceeds to build accommodation for government employees and commercial space. Image Source Also read: Telangana sets Rs 25 cr as upset price for land auction in Greater Hyd Also read: EOW issues notice to Bhopal smart city corp over land auction

Next Story
Real Estate

Heena Lalwani Buys Rs 1.13 Billion Juhu Apartment

Heena Lalwani, promoter of Aatman Innovations Private Limited, has purchased a luxury apartment worth Rs 1.13 billion in Mumbai’s upscale Juhu locality, according to property registration documents accessed by Zapkey.com.The 9,862 sq ft apartment, located on the 10th floor of Lodha Developers’ Avalon Tower, was acquired at Rs 115,000 per sq ft and comes with five car parking spaces. The deal, registered on 18 August 2025, also included the payment of Rs 68 million in stamp duty and a Rs 30,000 registration fee.Lodha Developers did not respond to queries regarding the transaction, while the..

Next Story
Real Estate

Godrej Buys KPHB Land for Rs 7 Billion in E-Auction

An acre of prime land in Kukatpally Housing Board (KPHB), Hyderabad, was auctioned for Rs 7 billion, with the Telangana Housing Board generating Rs 5.47 billion from the sale of 7.8 acres through e-auction on 20 August 2025.The auction notification was issued last month, attracting bids from Godrej Properties, Aurobindo Realty, Prestige Estates, and Ashoka Builders, according to Board vice-chairman V.P. Gautham. With an offset price of Rs 4 billion per acre, the three-hour auction saw 46 bid increases, before Godrej Properties acquired the land.Revenue generated from the auction will be utilis..

Next Story
Real Estate

HMDA to Auction 93 Prime Plots in September

The Hyderabad Metropolitan Development Authority (HMDA) is preparing to conduct a three-day auction of prime open plots across Hyderabad, Rangareddy, and Medchal-Malkajgiri districts this September.According to official reports, the e-auction will take place on 17, 18, and 19 September, offering 93 plots. Of these, 70 are located in the Bachupally HMDA layout, with the remainder spread across Turkayamjal, Kokapet, Poppalguda, Chandanagar, Bairagiguda, Gandi Maisamma, Suraram, Medipally, and Bachupally village.The highest upset price has been fixed at Rs 175,000 per square yard for a land parce..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?