MYSURU: Chamarajanagar district, once labelled backward, is experiencing a surge in land prices. Land within a 25km radius of the city is being sold for Rs 22 – 26 lakh per acre. Experts attribute this trend to investments by NRIs, Gulf returnees, and buyers from Kerala and Tamil Nadu following state land reforms.
There was not much demand for land five years ago, as an acre in Chamarajanagar was being sold between the range of Rs 2 to Rs 5 lakh, but now the demand for both agricultural and non-agricultural land has increased.
The demand for agricultural land increased manifold due to the improvement of groundwater levels following the water conservation initiatives, launched by both the Centre and the state govt, like filling of water in lakes, rainwater harvesting and other watershed development programmes.
A large number of buyers from neighbouring Kerala and Tamil Nadu are buying agricultural land, offering Rs 25 to Rs 30 lakh per acre, depending upon the proximity to roads, highways, and cultivation of ginger, banana, and plantation crops.
The land has become costlier in the surrounding areas of the Badanaguppe-Kellamballi Industrial Area, along the stretch of Chamarajanagar-Nanjangud Road, Mysuru Road, and Chamarajanagar-Gundlupet stretch. As the govt is offering Rs 43 lakh per acre for farmers for the extension of the Badanaguppe-Kellamballi Industrial Area, the land prices in and around areas have also increased, said Jayasimha, Chamarajanagar, Small Scale Industries Association president, to STOI.
Following the real estate boom, the housing and site prices have also soared in and around Chamarajanagar, which has been witnessing rapid development by the extension of industrial development, establishment of industries, proximity to Nanjangud and Mysuru industrial areas, and other employment generation activities.
A 30*40 measurement site costs about Rs 30 to 40 lakh in city-centric areas, while it costs Rs 12 to 16 lakh at the outskirts, like in Chamarajanagar Urban Development Authority approved private layouts in Masagapura, Yedabetta, Madapura, Shivapura, Santhemarahalli and Mariayala. Prices of sites in Kollegal, Hanur, Gundlupet, Yelandur town and surrounding areas also increased from Rs 30 lakh to Rs 40 lakh for the same measurement of sites, according to Vinay, a real estate agent in Chamarajanagar.
Chamarajanagar District Chambers of Commerce and Industry president V Prabhakar said farmers and landowners who were distressed by vagaries of nature are selling their land and migrating to urban areas. As most NRIs and Gulf returnees are investing in land, land prices increased manifold in Chamarajanagar district. Constructing a new house and buying sites has become a challenge for middle-class people because of the increase in land prices, he said.
Speaking to TOI, Chamarajanagar-Ramasamudra Urban Development Authority chairman Mohammed Asgar said that even buying land and developing new layouts for its site applicants has also become a challenge for the authority because of the increase in land prices in Chamarajanagar now.
