Nagpur: The Nagpur Municipal Corporation (NMC) has set a new record by receiving the highest-ever sale price of Rs 14,000 per sq ft for a plot on the London/Orange City Street Project in Nagpur.
Municipal Commissioner Radhakrishnan B, Executive Engineer Naresh Borkar, and their team have sold the 80,000 sq ft plot for Rs 111.75 crore, which translates to Rs 14,000 per sq ft. This is the highest-ever sale price in Nagpur city, surpassing the previous record of Rs 12,227.28 per sq ft for the 26,997 sq ft Air India plot in Civil Lines. The sale of the 80,000 sq ft plot has taken the revenue generated from the project to Rs 156 crore for the NMC.
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Saturday 01 Feb. 2025
The plot is situated between Khamla and Sahakar Nagar in South-West Nagpur, and was marred by encroachments for years. A meat market and NMC’s garbage transfer station occupied part of the plot, but these were cleared twice by the civic body before the auction.
The auction purchaser, M/s Praful Deshmukh and Praful Ved Infra Private Ltd, have barricaded the plot a few days ago. However, there have been some controversies as the new barricade has engulfed the footpath and stormwater drain network, which was previously being used by vegetable and fruit vendors.
Realty sector expert Pankaj Roshan has confirmed that the high sale price was due to the extra Floor Space Index (FSI) and various relaxations made available for the plot. He also suggests that similar relaxations should be made applicable for plots above 4,000 sq m to improve the realty sector in Nagpur. However, he warns that too many commercial projects are lined up in the city and the possibility of a slide in market rate cannot be ruled out in the next 18-24 months, owing to the availability of too much commercial space.
The Nagpur Municipal Corporation has achieved a significant milestone by setting a new record for the highest-ever sale price in the city. The sale of the 80,000 sq ft plot for Rs 111.75 crore has generated a revenue of Rs 156 crore for the London/Orange City Street Project.
However, there have been controversies regarding the new barricade and the impact on the footpath and stormwater drain network. The realty sector in Nagpur may also face challenges due to the availability of too much commercial space. Nevertheless, the sale is a positive development for the city’s economy and underscores the potential for growth in the real estate sector.
