E-Paper
E-auction of 73 properties across Chandigarh on October 10
Most of the commercial properties are in southern sectors, including 36, 42, 44, 39 and 40.
After a gap of nine years, Chandigarh estate office is all set to e-auction 30 commercial and 43 residential properties across the city on October 10.
Most of the commercial properties are in southern sectors, including 36, 42, 44, 39 and 40. The reserve price of these properties, which include booths and shop-cum-offices (SCOs), starts at Rs 88 lakh. The highest is that of a showroom in Sector 8 on Madhya Marg — Rs 10 crore.
As far as residential plots are concerned, the estate office has included two two-kanal plots, three of one kanal and the remaining of smaller sizes in the auction list. The reserve price varies between Rs 1.86 crore and Rs 7.53 crore, depending on the plot size and location. A two-kanal residential plot in Sector 33C is the costliest. For participating in the auction, people can log on to chandigarh.gov.in.
Rs 100 crore earned in 2009
In the last auction held in December 2009, the Chandigarh administration had earned Rs 100 crore. A one-kanal plot in Sector 19 had fetched Rs 4 crore against the reserve price of Rs 1.14 crore.
UT finance secretary AK Sinha said: “The reserve price has been fixed according to the existing collector rates of properties. We will put the list of properties on site for one month. We are hopeful of getting a good response seeing the boom in real estate market.”
However, Kamaljit Singh Panchhi, chairman of the Property Consultant Association, Chandigarh, said the e-auction would prove to be a “flop show” as collector rates are very high.
“The commercial properties to be auctioned are on leasehold, and unless and until the UT allows their conversion to freehold, no one will buy them,” he said. Panchhi also questioned the high ground rent of 2.5% on the total amount and 15% service tax.
Even the Chandigarh municipal corporation has failed to find any taker for 51 booths in Sector 17, despite three auctions and slashing the reserve price by 20%. Property dealers attribute the lack of interest to high reserve price and the condition of leasehold.
