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Acquiring land in Karnataka: Biggest challenge for industrialists

Real estate in KarnatakaAs the State heads towards polls, the hurdles to acquire land become more arbitrary and undemocratic, making it a significant issue which is likely to change the course of the wind of the real estate market of Bangalore.

According to JLL survey reports, for medium and large scale industries, Karnataka is completely out of place, since it is marred with land acquisition problems. Zuari putting off from a 5000 crore urea project and Posco’s laying aside from Rs 32000 crore project bear testimony to the fact that land acquisition problem is a rising concern in the state.

Major property consultants in the state confirm that land acquisition in Karnataka, for large-scale and medium sized industries, is considered as one of the long-drawn out, cumbersome and high-priced processes. Experts suggest that one of the key reasons for the consumption of excess time during land acquisition is the unnecessary putting off the formalities by KIADB. The Karnataka Industrial Area Development Board takes a long stretch to wind-up the formalities, which are to be filled up once a project is sanctioned and the government gives clearance for it.

Beyond the bounds

In localities such as Bommanahalli, Rajarajeshwarinagar and Yelahanka, lands have been notified because of Bangalore-Mysore infrastructure Corridor project, however, poll promises include denotification of such land for commercial use. The same trend exists in the entire Srirangapatna to Bangalore stretch.

To add to it, areas which are notified by the BDA for the Arkavathy Layout, farmers on numerous occasions have objected to give away their land because of lack of paid compensation. Areas close to the airport which are notified by KIADB for industrial growth have also seen resistance from the landowners and farmers.

Acquisition of land for industrial projects is becoming difficult with every passing day in Karnataka. Moreover, the single-window clearance facility of the state is not yet effective which is in use in Andhra Pradesh and Rajasthan. However development authority officials confirm that the allotment and acquisition of land to industry in certain areas such as Harohalli and Narasapura have been exaggerated. On the contrary, according to industry analysts, most of the allotments are to small scale industries of 5-10 acres.

Tags : acquiring land karnataka bangalore-mysore infrastructure industrail infrastructure industrial growth industrial projects kiadb property consultants real estate market of bangalore

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