Advertisement
What really powers the cloud? Behind every Google search, A...
A lot of what defines a home isn’t visible at handover. I...
Private equity has played a significant role in shaping Indi...
Luxury real estate is one of the most talked-about segments ...
Airports play a much bigger role than just enabling travel -...
The Hyderabad Metropolitan Development Authority (HMDA) has initiated the process to de-notify the Kokapet Information Technology Special Economic Zone (IT SEZ), a move that could unlock around 90 acres of prime land for public auction. Subject to approval from the Union Ministry of Commerce, the proposed auction is expected to generate nearly INR 12,000 crore. The land, located in Hyderabad's rapidly growing western corridor, has remained largely unused for years after the planned IT SEZ failed to take shape. The proceeds are expected to support major infrastructure projects across the city.
The Hyderabad Metropolitan Development Authority (HMDA) has sought approval from the Union Ministry of Commerce to de-notify the Kokapet Information Technology Special Economic Zone (IT SEZ), a move that could pave the way for the auction of around 90 acres of prime land in Hyderabad. If approved, the authority expects to generate nearly INR 12,000 crore through the land auction, making it one of the city's biggest land monetisation exercises in recent years. The revenue is expected to be utilised for infrastructure development and urban improvement projects across the Hyderabad Metropolitan Region.
The Kokapet IT SEZ was proposed nearly two decades ago by the erstwhile Hyderabad Urban Development Authority (HUDA) to expand Hyderabad's growing IT corridor beyond HITEC City and Gachibowli. Around 117 acres were allotted on long-term lease to 11 companies for setting up information technology and IT-enabled services projects. However, the development did not progress as planned. Several allottees either failed to fulfil their commitments or withdrew from the project, leaving a significant portion of the land vacant and unutilised for years.
Officials said nearly 90 to 95 acres of the original land parcel are now available for redevelopment. Since the land is currently notified as a Special Economic Zone, HMDA cannot auction or repurpose it without obtaining de-notification from the Centre. The authority has therefore submitted its proposal to the Ministry of Commerce, and the auction process will begin only after the required approvals are granted.
The land is located in Kokapet, one of Hyderabad's fastest-growing real estate markets, close to the Financial District, Gachibowli, Neopolis and several major commercial developments. The micro-market has witnessed a sharp increase in land values over the past few years due to sustained demand from office developers, mixed-use projects, premium residential developments and institutional investors.
HMDA's previous auctions in the nearby Neopolis layout attracted record-breaking bids, with land prices crossing INR 136 crore per acre. Industry observers believe the Kokapet parcels could also receive strong interest because of their strategic location, established infrastructure and proximity to Hyderabad's major employment hubs. Large, contiguous land parcels of this scale have become increasingly scarce in the western part of the city, making the proposed auction significant for developers looking at long-term investments.
The authority has increasingly adopted land monetisation as a funding mechanism for public infrastructure. Revenue generated from earlier land auctions has been used to finance road expansion projects, flyovers, grade separators, junction improvements and other urban infrastructure works across Hyderabad. Officials expect the proposed Kokapet auction to provide another major source of funding for future infrastructure without adding pressure on government finances.
The proposal will now be examined by the Union Ministry of Commerce before any decision on de-notification is taken. Once the approval process is completed and other statutory clearances are secured, HMDA is expected to announce the auction schedule. The development is likely to be closely watched by real estate developers and institutional investors, given the limited availability of premium land parcels in Hyderabad's western corridor and the continued demand for commercial and mixed-use developments in the area.
Advertisement
Facebook
Whatsapp
