All construction activity thus stops in these villages under the development authority's limits.
Ahmedabad Urban Development Authority (Auda) has banned township development in 68 villages that fall in its limits, which effectively means no real estate development in these areas. Auda had earlier banned construction outside 100-metre area of the village settlements.
In second revised draft development plan of the city, Auda had restricted realty development by declaring agriculture zone beyond 100-metre area of the village settlement. The option of development of township had been kept open, but now that too has been closed.
The chairman of Auda, Dharmendra Shah, confirmed the development. He said that the matter is yet to be discussed in the board meeting, but it has been decided on informally. “The state government is coming up with a lot many affordable housing schemes; there is no need of townships,” said Shah, adding that the townships aren’t beneficial to Auda as the development authority doesn’t get 40% land reduction in these schemes.
The decision may put in limbo township projects that are in the pipeline.
Ganesh Housing already had approval from the state government for its ‘Smile City’ in Godhavi-Goradia villages at Rs2,000 crore. Popular Builders had signed an MoU with the state government during Vibrant Gujarat Summit 2011 for setting up two townships at an investments of Rs13,500 crore.
Local realty players, however, are of mixed opinion, regarding the decision. “It’s a mistake on Auda’s part to include 68 villages in its purview. It now can’t handle the pressure, so it has completely stopped development (in these villages),” said a leading realtor.
A few of his compatriots believe that such attempts are made to discourage all kinds of residential development to ensure success of the government’s affordable housing schemes.
“I have a huge stretch of land in one of the Auda villages,” said another leading developer of the city. “I recently approached a senior official with Auda to inquire about the provisions for setting up a township. I was informed that no township will be allowed in these villages,” he added.
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