Nagpur Business District Land Acquisition Cost to Surpass Rs 4,000 Crore
The ambitious New Nagpur Business District project is facing a significant cost escalation in its land acquisition phase, with estimates now likely to exceed Rs 4,000 crore. This figure is nearly Rs 1,000 crore above the initial budget of Rs 3,000 crore, as reported by collectorate sources in Nagpur.
Compensation Finalization and Acquisition Process
The final compensation amount for farmers is expected to be determined within a week. Once finalized, the details will be handed over to the Nagpur Metropolitan Region Development Authority (NMRDA), which will oversee the land acquisition process. The acquisition involves private land from Mouza Ladgaon (Rithi) and Mouza Godhani (Rithi) in Hingna taluka, totaling 629.43 hectares.
This includes 456.41 hectares in Ladgaon and 173.02 hectares in Godhani. The district administration has spent nearly five months conducting detailed surveys and assessing land values. A committee is currently finalizing the land acquisition rates, with completion anticipated within the week.
Details of Land Acquisition and Compensation
The land acquisition will cover 269 survey numbers in Mouza Ladgaon (Rithi) and 98 survey numbers in Mouza Godhani (Rithi). Officials have stated that the process is in its final stages, and once completed, compensation notices will be issued to the concerned farmers. To ensure cooperation, the government previously offered compensation at five times the prevailing land rate.
Additionally, Maharashtra revenue minister and Nagpur guardian minister Chandrashekhar Bawankule assured farmers that they would receive a developed plot of 1,500 square feet per acre of acquired land within the New Nagpur project.
Project Overview and Funding
The larger New Nagpur Business District project, valued at Rs 11,300 crore, is being developed over 692.06 hectares in the same villages. NMRDA is implementing the project, with NBCC (India) Ltd appointed as the consultant. While Rs 3,000 crore was initially earmarked for land acquisition, around Rs 3,500 crore has been allocated for Phase I development.
Funding for the project is being arranged through a loan from Hudco, backed by a state government guarantee. The development will be anchored around an International Business and Finance Centre (IBFC), aimed at transforming Nagpur into a major hub for business and finance.
Expected Benefits and Features
The project is projected to generate over five lakh jobs, particularly in knowledge-based industries and startups. It will feature a first-of-its-kind underground utility tunnel system designed on a plug-and-play model, along with smart infrastructure, green planning, and a single-window clearance mechanism to facilitate ease of doing business.
The state government has declared this initiative a flagship project and has announced a stamp duty waiver to attract investment, positioning the New Nagpur Business District as a future-ready, integrated corporate city.
Key Points About the New Nagpur Business District
- The project will be developed on 692.06 hectares in Mouza Godhni and Mouza Ladgaon, Hingna taluka.
- NMRDA will implement the project, with NBCC (India) Ltd as the consultant.
- Rs 3,000 crore was initially earmarked for land acquisition, with Rs 3,500 crore for Phase I development.
- Final compensation details are being finalized by the collector office.
- Funding is being raised through a HUDCO loan with state government guarantee.
- The project is anchored around the International Business and Finance Centre.
- It is expected to generate over 5 lakh jobs in knowledge-based industries and startups.
