Amidst the current challenges facing the real estate market due to the pandemic, the City and Industrial Development Corporation (CIDCO) is presenting a promising opportunity. Individuals seeking plots intended for bungalows, row houses, and significant development projects will find this offering particularly advantageous over the coming year. As the planning agency finalizes its strategy, a plan to auction around 900 plots within the next 12 months has been set in motion.
Plot Auctioning as a Lucrative Opportunity
Within a short period of one month, CIDCO successfully generated close to ₹1,100 crore through the auction of residential plots. Notably, in February, a record-breaking bid of ₹2.63 lakh per square meter was received for a plot situated in Sanpada. The auctions for residential plots taking place in Navi Mumbai are poised to significantly bolster CIDCO's financial resources. This infusion of funds is expected to play a crucial role in supporting innovative and upcoming ventures. The agency has set its sights on accumulating over ₹400 crore per month through these strategic plot auctions.
Back in January, CIDCO auctioned 26 plots designated for bungalows, alongside a 66 sq mt plot located in Ghansoli, which proved to be a lucrative deal for CIDCO. These auctions commanded rates as high as ₹1.30 lakh per sq mt, notably exceeding the typical price range of ₹30,000 to ₹34,813 per sq mt for plots in Ghansoli. Similarly, a plot spanning approximately 208 sq mt in New Panvel (E) was sold for ₹1.09 lakh per sq mt, contrasting with the base price of ₹39,000 per sq mt in the New Panvel locality.
Over the next 12 months, CIDCO plans to auction a series of plots in Navi Mumbai, presenting an array of opportunities for prospective investors and developers. During this period, it is anticipated that approximately 1000 plots, varying in size from 40 sq mt to 4000 sq mt, will be made available. Of these, CIDCO has earmarked approximately 200 to 400 plots specifically for bungalows, encompassing a wide variety of areas ranging from 30 to 400 sq mt. Officials from CIDCO have noted substantial demand for larger plots spanning from 1,000 sq mt to 1 hectare, particularly among builders eager to undertake significant development projects.
Advantages of CIDCO Plots
Participating in CIDCO's plot bidding process presents numerous advantages. It's beneficial for various compelling reasons. Plots featuring MMR titles are scarce and rarely become available, plots listed in the CIDCO auction offer clear ownership and MMR titles. MMR titles furnish essential details pertaining to the plots, including acquisition date, registration date, and other pertinent information. Furthermore, Navi Mumbai is poised to benefit from the launch of various infrastructure projects. It considerably enhances the connectivity of the locality.
According to Sanjay Mukherjee, Cidco vice-chairman and managing director: "Cidco about to bring out a large stock of small plots that need to be handed over to small real estate developers so, that they can enter the market in difficult times. Also, it is the best opportunity for a middle class to own a bungalow."
Manohar Shroff, vice-president of MCHI-CREDAI Navi Mumbai unit, stated, "The feedback of the auctions was good since Cidco has raised its ancillary FSI. Builders are pricing these plots high and offering larger homes. It is beneficial for CIDCO as well as builders."
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