Chandigarh Housing Board Considers Land Auctions to Private Developers
The Chandigarh Housing Board (CHB) is currently evaluating a proposal to auction portions of its land bank to private developers. This potential move represents a notable shift away from the board's fundamental objective of constructing affordable housing for the public.
Proposal Details and Initial Plans
According to sources, the proposal is still in its preliminary stages but has been under active discussion among senior officials of the administration and the board. The initial plan suggests that two land parcels, each measuring approximately 4 to 5 acres in Sector 54, might be put up for auction. However, critical details such as the reserve price and specific auction conditions remain to be finalized.
Questions Over CHB's Relevance and Mandate
This development has reignited concerns regarding the relevance and core purpose of the housing board. Hitesh Puri, chairman of CRAWFED and a former CHB board member, expressed strong criticism, stating that the board has consistently failed to fulfill its mandate over the past decade. "The CHB was established to provide affordable housing, yet the middle-class homebuyer has been completely overlooked," he remarked.
Historical Context and Recent Performance
Established in 1976, the Chandigarh Housing Board constructed a total of 67,565 houses by March 2019. This included 33,867 Economically Weaker Section (EWS) units under rehabilitation schemes, 9,075 Low Income Group (LIG) units, 11,723 Middle Income Group (MIG) units, and 5,933 High Income Group (HIG) units. Notably, the majority of non-EWS housing projects were completed before the year 2000.
Since then, CHB's focus has largely shifted towards creating EWS rehabilitation units, which are not accessible to the general public. The last general public housing scheme was launched in 2016, offering only 200 flats, but it received a poor response due to high pricing. Another proposed scheme in Sector 53 faced repeated delays, with a 2018 demand survey indicating low interest because of elevated dwelling unit costs. Although revived multiple times, this scheme was effectively shelved by late 2025 after the administration directed CHB to explore land auctions as an alternative.
Expert Opinions and Past Experiences
Architect and former CHB board member Surender Bahga voiced concerns that auctioning land instead of constructing housing directly "brings the board's very existence into question, as private developers will inevitably recover costs and add substantial profit margins."
RK Garg, president of the Second Innings Association, highlighted CHB's troubled history with private developers, citing the aborted IT Habitat project at the IT Park. That project concluded with CHB paying Rs 572 crore and reclaiming the land. Garg added, "If the board auctions land allotted to it by the Union Territory, what is the necessity for CHB? Let the UT auction it directly. This clearly indicates that CHB has failed to deliver on its core promise of affordable housing."
Stalled Projects and Future Implications
In addition to the proposed Sector 53 scheme, a plan to develop CHB's land bank in the IT Park has also stalled. The potential shift towards land auctions raises significant questions about the future direction of the Chandigarh Housing Board and its ability to serve its original purpose of providing accessible housing solutions to residents.
