Indian Railways eyes Rs.1,100 Crore from land sale in Delhi

NEW DELHI: Indian Railways is expecting to earn Rs 1,100 crore through monetisation of a 15 hectare plot in Delhi’s Sarai Rohilla.

Two builders—Noida-based Eldeco and Mumbai-based RNA Builders-—have bid for the land, which is about 5 km from Connaught Place, railway ministry officials said.

Bids for the project will be opened next month. “The builders will be allowed to construct residential towers on the plot,” one of the officials quoted above said.

The national transporter is bidding the land through its PSU, Rail Land Development Authority (RLDA).

The railways has lined up six such more plots across the metros and is expecting to rake in around Rs 10,000 crore through monetisation in the current financial year.

The railways will soon be bidding out three plots totalling 16 hectares in Mumbai’s posh areas such as Bandra, Mahalaxmi and near the Lokmanya Tilak Terminal.

“We are expecting that Mumbai land would get a lot of premium and they are also fit to set up luxury hotels. Then we have another plot in Delhi’s Ashok Vihar and one each in Hyderabad and Chennai,” another official said. “We hope to monetise all of them in the current financial year.”

The railways has tried monetising its last bank several times in the last few years but the project could never take off because of the slump in realty marked and the lethargy and inefficiency of RLDA. “We have told the land development authority to deliver results this time. Overall, we have identified around 45 sites which have a revenue potential of more than Rs 42,000 crore. These sites will be bid out in phases,” the official added.

The railways has also identified around 250 hectares of land in Chhattisgarh around 25 hectares in Gujarat for solar power plants.