CRDA to mortgage lands for administrative capital

By | September 14, 2016

CRDA to mortgage lands for administrative capital

AP Capital Regional Development Authority has decided to mortgage 3,500 to 4,000 acres of land that comes as the government share in the pooled lands of the capital region to raise loans from finance Companies and in later phase to sell the land for repaying the loans.

crda-to-mortgage-lands-for-administrative-capital

The loans raised will be used for construction of Administrative City in an extent of 900 acres that include Assembly, Secretariat as well to develop infrastructure like roads in the capital city villages. However, the tangle according to municipal administration minister P. Narayana is that unless the CRIDA allots reconstituted plots to the farmers and land owners it will not get rights over its share of land and mortgaging can be done only after the process of plots allotment to the farmers is completed. He said the building

constructions for temporary Secretariat also happened with the prior agreement of the farmers and owners. Another knot is that the land prices will increase and can be sold to repay the loans only after the development of infrastructure.

Mr Narayana said, “Rs.7,500 crore Hudco loan will be initially raised by mortgaging the share of CRIDA. For the administrative capital, the Centre has already announced Rs.2,500 crore and promised to give another Rs.1,000 crore. The government has allocated Rs.1,000 crore
in this fiscal year 2016-17 in the Budget. However, the proposed cost to construct the administrative city will be Rs.8000 crore.”

Central funds linked With utilisation Certificates and all which may take longer time. But the state has taken this as aprestigious issue and will have to complete it before 2019 general elections.

To achieve this, the CRDA prepared a blueprint and has announced schedule to reconstitute lands to the farmers and owners. “Almost sorted out the issue relating to the returnable plots and schedule to allot plots between October 14 and November 14,” Mr Narayana said.

“Once this exercise is finished, ownership rights will transfer and reserved with the CRIDA,” Mr Narayana observed and added that they will first mortgage the land and create infrastructure in the capital later.

Note: The LOANS raised Will be used for Construction of Administrative City in an extent of 900 acres that include Assembly, Secretariat as well to develop infrastructure like roads in the capital city villages.

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