Real estate lobby prevails as Karnataka govt distances itself from prime Hebbal land

Bengaluru: The state government on Friday washed its hands of the responsibility to hand over 45 acres of land in Hebbal to Namma Metro, saying the prime property is "technically KIADB land, but acquired for a private company". 

The government has now instructed Bangalore Metro Rail Corporation Limited (BMRCL) to directly compensate the private firm at "market rates" and avoid litigation. 

The decision was taken at a closed-door meeting chaired by Deputy Chief Minister DK Shivakumar and Minister for Large and Medium Industries MB Patil at the Vidhana Soudha. 

Deputy Chief Minister DK Shivakumar and Minister for Large and Medium Industries MB Patil during the meeting at Vidhana Soudha in Bengaluru on Friday. DH PHOTO

The meeting discussed the prospect of handing over the 45-acre land parcel to the BMRCL, which has proposed to build two metro stations under Phases 3 and 3A and a depot at Hebbal. 

The 45 acres were among the 55 acres and 13 guntas earlier notified for Lake View Tourism Corporation, a private entity. While the KIADB had issued the preliminary notification in May 2004, the acquisition process was not completed as the landowners were not compensated. At present, the land is vested with the government as per the KIADB Act. 

To a question, Patil said the 45-acre land was technically with the KIADB, but was acquired for a company under the Single Unit Complex (SUC) scheme. 

"The KIADB did not acquire the land for setting up an industrial park, but on behalf of the company. We cannot hand over the land to the metro directly as it would amount to breach of agreement. Hence, we have advised the metro officials to talk to the private entity and pay it as per the market rates,” he said. 

Patil conceded that Namma Metro badly required the land in Hebbal as it was the only vacant space available at the busy junction. "We are nobody to give the land. If we do, there will be litigation and the matter will be stuck in the court for 10 to 20 years. This will not serve the metro's purpose,” he said. 

A top official said the government would be committing a "big blunder" by asking the metro to negotiate with the private company. "The land continues to be with the government as the private company did not compensate the land losers except for providing the deposit amount. It is still a government land."