HSVP set to auction land in Gurugram to fill coffers, eyes Rs 1,000 crore

GURUGRAM: HSVP plans to raise around Rs 1,000 crore by monetising its land in Gurgaon.
The development authority has listed a total of 96 residential and commercial plots, including
land earmarked for nursing homes and hospitals. All these properties will be sold through eauction, officials said.
The authority has to pay more than Rs 1,000 crore to farmers for their land acquired in previous
years. Over a period of time, the Punjab and Haryana high court and the Supreme Court have
enhanced the land cost acquired by the authority.
To pay the enhanced compensation, HSVP has borrowed crores from banks and it is paying
around Rs 100 crore as monthly interest on the loans. Of the 96 plots in six different sectors of
Gurgaon, 80 are residential. The commercial properties include sites for 12 nursing homes,
three hospitals, and a hotel. The estimated price of all these properties is around Rs 1,000
crore
Last year, HSVP changed the land use of several projects to develop residential or commercial
plots for auction to raise funds. At present, more than 660 acres of land of HSVP are under
encroachments in Gurgaon alone, of which nearly 466 acres are under litigation in various
courts.
Due to mounting debt, the authority is also struggling to pay salaries to its staff and has taken a
loan of around Rs 14,250 crore at an interest rate of 8.05-8.30%.
Chief administrator of HSVP, Ajit Balajoshi said, “We are auctioning our land across Haryana.
HSVP (Gurgaon) has a large land bank, including commercial and residential, and it can be
helpful in setting the finances of the authority.”