Here is the good news for those wishing to own government-owned properties in Lucknow, the capital city of Uttar Pradesh.
The Lucknow Development Authority [LDA] plans to carry out an auction process in order to sell 3,500 properties including the residential and commercial ones. The authority decided to carry out the auction process as it was becoming difficult to bear the loss that is being made from the maintenance of its properties.
According to the reports, a total of 3,500 properties are expected to be sold off in this auction which is expected to take place in January. Out of the total 3,500, exactly 2,300 properties are the residential structures and the remaining 1,200 are commercial ones.
The residential properties that are listed for auction are located in Paper Mill Colony, Niralanagar, Balda Road Colony, Rajendra Nagar, Pande Ka Talab, Mawaiyaa, Old Hyderabad and Lawrence Terrace.
The commercial ones are the shops spanning over key commercial centres like Aliganj, Aishbagh, Napier Road, Nakhas, Janpath, Mahanagar and China Bazaar. The maximum numbers of residential properties are based in Paper Mill Colony which is 954 and the highest numbers of shops are in Nakhas 213.
The Lucknow Development Authority approximately spends Rs. 1 crore annually on the maintenance of these properties and earns only Rs. 33 as its rent.
Earlier, the Lucknow Municipal Corporation was responsible for these properties but the same was transferred to the Lucknow Development Authority since its formation in 1974. There was a time when these properties were rented out between Rs 50-200 but unfortunately nothing has changed till now despite of the fact that the maintenance cost has increased by manifolds, the officer of the Lucknow Development Authority said.
The Lucknow Development Authority will give preference to the current tenants in the auction of the properties. Nearly 17,000 people are likely to be affected by this auction in the city, although the prices for the properties in auction are yet to be fixed.