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Chandigarh MC allocates INR 10.25 crore ahead of Manimajra land auction

#Taxation & Finance News#Infrastructure#India#Chandigarh
Last Updated : 1st Jul, 2025
Synopsis

The Chandigarh Municipal Corporation has sanctioned INR 10.25 crore for essential infrastructure development on a 7-acre plot in Manimajra's Pocket 6, ahead of a major land auction. This parcel, part of a 7.5-acre area divided into five plots, will be auctioned on a freehold basis, with reserve prices ranging from INR 125 crore to INR 217 crore. The scope of works includes sewerage, water supply, internal roads, horticulture, electrical systems, and a service duct. The collector rate has been pegged near INR 796 crore, and all internal services will be maintained by the successful bidders post-auction.

The Municipal Corporation of Chandigarh has approved an infrastructure budget of INR 10.25 crore to prepare a 7-acre land parcel in Manimajra for a housing project auction. This land, located in Pocket 6, is part of a larger 7.5-acre area which will be subdivided into five freehold plots, each to be auctioned with a defined reserve price. The civic body aims to boost the site's auction potential by equipping it with key urban services, following high-level internal approvals and planning meetings held over the past week.


Of the total allocated amount, INR 4.96 crore will be used to install essential underground infrastructure such as sewerage, drainage lines, water supply networks, community toilets, and tubewells. For surface infrastructure, INR 3.32 crore has been set aside for the construction of internal roads. The MC has also earmarked INR 99.71 lakh for horticulture works and INR 37.78 lakh for electrical installations. An additional INR 30 lakh will go towards setting up a common underground duct to house all service lines, while a contingency amount of INR 29.87 lakh has been reserved for unforeseen expenses.

Simultaneously, the municipal corporation has framed the auction guidelines for these five plots, with reserve prices ranging between INR 125 crore and INR 217 crore depending on the size of each plot. Each auction will be conducted on a freehold basis, allowing successful bidders full rights to transfer the property in future. Earnest money deposits have also been structured proportionally, from INR 2.51 crore to INR 4.34 crore per plot.

Importantly, successful bidders will bear the responsibility for developing all internal infrastructure post-purchase. This includes the installation and maintenance of sewage treatment plants, internal roads, landscaping, electricity lines, and sanitation systems. The upkeep and management of these facilities, including all common services and green spaces, will also lie with the buyers.

The terms of auction have been aligned with the Capital of Punjab (Development and Regulation) Act, 1952, the building by-laws, and the city's estate regulations. Fragmentation or deviation from approved zoning plans will not be permitted. The corporation has confirmed that the collector rate for the entire land parcel has been fixed at nearly INR 796 crore, based on current market valuations and inter-departmental discussions.

This isn't the first time land in Manimajra has attracted major development interest. In 2005, the civic body auctioned a 5.39-acre residential site in the same area for INR 108 crore on a freehold basis, underscoring the location's long-standing value and development potential.

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