GBA township to yield 15kcr more; govt pegs revenue at 33kcr

Bengaluru: The proposed Greater Bengaluru Authority suburban township — earlier called Bidadi satellite township — is projected to generate a surplus of Rs 15,429 crore for the govt upon completion, with the project timeline estimated at three years.Documents accessed by TOI indicate the total project cost is pegged at Rs 18,133 crore, including interest payment to banks and NBFCs. The govt expects overall revenue of Rs 33,562 crore from the sale of developed land and other sources.Saleable land is expected to be priced at around Rs 2,200 per sqft for industrial use and Rs 2,300 per sqft for commercial use. As part of the compensation framework, 9,693 residential sites and 8,723 commercial sites will be allotted to landowners who part with their land.After accounting for compensation and mandatory green spaces, about 44.5% of the total project area will remain available for development by the authority. This land is proposed to be monetised through bulk sales, along with additional revenue streams such as property tax and premium floor area ration (FAR).Of the projected revenue, Rs 22,654 crore is expected from site sales, while property tax and premium FAR are estimated to contribute Rs 5,739 crore and Rs 5,169 crore, respectively.As a preparatory step, GBA plans to float international tenders to appoint a project management consultancy, with an estimated cost of Rs 31 crore.On the funding side, Bangalore Development Authority is expected to invest Rs 3,000 crore as equity in exchange for 551 acres of developed land. Additional funding includes Rs 7,500 crore from financial institutions and Hudoc, while GBA plans to raise Rs 3,650 crore by mortgaging civic amenity sites.The cabinet is learnt to have set aside concerns raised by the finance department over minimising govt liability through a PPP model. Officials cited the project's structure, where nearly 60% of the land is earmarked for acquisition and development to compensate landowners, as a key factor.The finance department had suggested a phased implementation to reduce financial risk. However, the urban development department opposed the move, warning that delays could significantly escalate land acquisition costs and jeopardise project completion.The township, which has faced delays for over a decade in its earlier Bidadi avatar due to multiple setbacks, is now being pushed as a major urban expansion initiative.GFXGBA suburban township in a nutshellTotal project land extent7,814 acresTotal project costRs 18,133 croreLand under govt ownership830 acresLand under pvt ownership6,650 acresCompensatory sites9,693 (residential), 8,723 (commercial)Monetary compensationfrom Rs 2 crore per acreLand acquisition costRs 9,081 croreDevelopment costRs 6,580 croreRevenue from sale of sitesRs 22,654 croreRevenue from property taxRs 5,739 croreRevenue from premium FARRs 5,169 croreInterestRs 2,472 crore