HMDA Generates ₹140 Crores from 1st Day of Uppal Bhagat Auction – Hyderabad Real Estate
On the first day of the much-anticipated Uppal Bhagat land auction by the Hyderabad Metropolitan Development Authority (HMDA), a total of 19,719 sq. yds. of land parcels were up for auction. 23 plots ranging from 150 sq. yds. to 1,790 sq. yds. were auctioned on the first day of the Uppal Bhagat auction. The next 21 plots are set to be auctioned today i.e., 3rd December 2021. The city of Hyderabad has been experiencing a realty market high during the year 2021, indicating good market recovery post pandemic which has resulted in a hot-demand for land parcels in and around the city.
The HMDA organized e-auctions for the sale of land parcels in Uppal Bhagat area in the eastern reaches of Hyderabad, the e-auction witnessed the price go up to ₹1 lakh per sq. yd. which is more than 2.5 times the base price fixed by the HMDA. The rate of ₹1 lakh per sq. yd. is quite common for land in the western parts of Hyderabad in areas like Gachibowli, Miyapur, Kondapur, Kukatpally, Patancheru etc. so it was a positive surprise to the HMDA officials when eastern areas of the city are also fetching the same rates.
During the e-auction, which was conducted online, the 23 land plots sold fetched around ₹140 crores for the HMDA. The average selling price for the plots was more than ₹71,000 per sq. yd. The highest price per sq. yd. was ₹1.01 lakh per sq. yd., while the lowest bid price was ₹53,000 per sq. yd. The highest bid price of ₹1 lakh per sq. yd. were bids for 2 open plots of 222 sq. yds. & 368 sq. yds. each. The HMDA had set the base price of the plots at ₹35,000 per sq. yd. which was exceeded by even the lowest bid.
Land parcels in the same area were auctioned by the HMDA during 2019 and the auction in 2019 fetched more than ₹1,000 crores at an average rate of ₹79,000 per sq. yd. for 155 plots sold. The infrastructure of the layout has already been developed by HMDA and the good response in the 2019 auctions proved the area to be a safe bet for generating funds by sale of land for HMDA. The auctions in 2019 & 2021 have received a good response due to the proximity of Uppal Bhagat layout to Uppal & Nagole metro stations and the Musi river. This is the second major auction by the HMDA in 2021 after the Neopolis Kokapet layout auction on 15th-16th July 2021 which garnered more than ₹2,000 crores for HMDA.