Largest space auction on Feb 8

Written by Charanjit Ahuja | Chandigarh, Jan 30 | Updated: Jan 31 2008, 07:43am hrs
Reliance Industries, DLF, ITC and other major business houses have shown a keen interest in the auction of what is being touted as "largest ever commercial space being put to auction for mixed use for hotel, multiplex, service apartments and a shopping mall" at Mohali on February 8.

The Greater Mohali Area Development Authority (Gmada) told FE here on Wednesday that the authority has fixed the reserve price of this 46,464 square yards site at Rs 464 crore. Basking under the glory of the recent success that Punjab achieved in the auction of commercial space at Bathinda, Ludhiana and Amritsar, the state took the decision to auction this site strategically located in the heart of the land mass between Chandigarh and Mohali. In recent times, property rates have skyrocketed in Chandigarh and Mohali with the highest price touching about Rs 5 lakh per square metre. With commercial property being sold on a freehold basis as against leasehold in Chandigarh, there is likely to be a better response, sources added.

The officials of the Gmada informed that the location is near to an international airport and an inter-state bus terminus. The successful bidder of the auction would enjoy complete freedom to commercially construct anything he or she wants on that plot. The Gmada has held meetings with prospective bidders at Delhi and Mumbai and it claims that the response has been "excellent". Sources said that Reliance, DLF, ITC representatives have already visited the site.

Mohali boasts of investments from corporates such as Infosys, Dell, Quark, Philips, Ranbaxy, Mahindra and Mahindra, Semiconductor, Bharti, Vodafone, Essar, Tata, Reliance, HFCL and a host of other big names. Major developers like Omaxe, TDI, Ansals, Emmar MGF, Parsvnath have already staked their claim in land development in Mohali.

The Gmada is pinning high hopes on this auction which officials say would be a "trend setter" in Punjab