Telangana to Auction Open Plots to Fund Land Acquisition for Old City Metro

28 Jan 2025 CW Team

The Telangana state government plans to raise Rs 6 billion by auctioning open plots in the Uppal Bhagayat Layout to finance land acquisition for the 7.5 km Old City Metro corridor, connecting Mahatma Gandhi Bus Station (MGBS) to Chandrayangutta.

The total cost for acquiring land for 1,100 properties is estimated at Rs 1,000 crore, which includes Rs 5.25 billion for land purchase, Rs 1.50 billion for rehabilitation and resettlement, and Rs 3.25 billion for structural compensation. Additionally, Rs 1.75 billion will be needed for expenses like demolition (Rs 40 crore), utility shifting (Rs 60 crore), and road widening (Rs 75 crore).

The state has already allocated Rs 500 crore in the Budget for the Old City Metro Rail project. The remaining funds will come from the auction of open plots in Uppal Bhagayat, to be conducted by the Hyderabad Metropolitan Development Authority (HMDA), with the auction expected to begin soon.

Sources revealed that the Old City Elevated Metro Corridor, initially part of the first phase, faced several delays due to alignment issues and property acquisition challenges. The 7.5 km extension will connect Shalibanda, Falaknuma, and Chandrayangutta. Road widening for the extension started this week, including the demolition of structures, mainly shops, in Moghalpura and Kotla Ali Jah on Tuesday.

The land compensation rate was initially set at Rs 60,000 per square yard but was later raised to Rs 81,000 per square yard after a request by Hyderabad MP Asaduddin Owaisi.

To protect over 100 religious, heritage, and other sensitive structures along the route, the Hyderabad Metro Rail Limited (HMRL) has designed engineering solutions to avoid any adverse impact on these properties.

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