Date:07/08/2007 URL: http://www.thehindu.com/2007/08/07/stories/2007080774380100.htm

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VUDA rides crest of realty boom

Staff Reporter

On day one, it nets Rs. 11.28 crores from auction of plots

VISAKHAPATNAM: Right from the word go, residential plots developed in Kummaripalem layout by Visakhapatnam Urban Development Authority (VUDA) sold like hot cakes at the auction conducted on Monday.

The fact that auction of 44 plots admeasuring 300 to 555.55 square yards fetched VUDA an amount of Rs.11.28 crores typified the unprecedented real estate boom in the city spilling over to its suburbs. Kummaripalem layout falls in the Bhimunipatnam Municipality and is close to 100 ft. road between Dorathota and Bhimunipatnam.

While odd bits were bought for Rs.4,650 and more per sq. yd., the plots having strategic locations were sold up to Rs.9,250 as against an upset price of Rs.2,000 for all the plots.

Incidentally, realtors and parents of NRI children took part in large numbers on the day-1 of auction at VUDA Children Theatre. Departing from earlier practice, VUDA put a ceiling this time not to quote more than Rs.50 to Rs.200 more than the previous bidder. “The response in the layout has exceeded our expectation,” a senior VUDA official. Auction of remaining 45 plots will be done on Wednesday at the same venue.

VUDA is also scheduled to auction 62 residential plots in Sontyam layout close to Anandapuram-Anakapalle State Highway on August 8. Another highlight of current auctions is that VUDA has kept certain bulk sites aside for allotment to various income groups as per its rules and regulations later.

Planner clears air

The auctions conducted in March for Rushikonda and Kappulapada layouts falling in GVMC limits attracted bidding up to Rs.11,000 per square yard. Allaying doubts among the bidders, VUDA Chief Urban Planner K. Anandbabu said that they would provide all facilities.