The Bihar State Housing Board has extended the deadline of submitting bids for developing around 1,600 swanky flats in Patna from September 20 to October 18 after failing to entice any bidder for the ambitious public-private partnership project.

Not a single bidder came forward for the project despite the housing board holding pre-bid developers’ meets in Patna, New Delhi and Mumbai. The cold shoulder from the builders compelled the board to extend the last date for submitting the bids to October 18.

The housing board officials are not bogged down after the initial “setback”, though, Most of them seem quite certain about the success of the project.

“A number of renowned companies like Gammon India Private Limited, Kalpataru Constructions, Ashiana Homes and IL&FS are in constant touch with us for the project. Many of these companies had few queries. We have replied to them. Some of them had sought extension of the bid submission date. Moreover, the companies tend to submit bids around the bid due date only,” said a senior official of the housing board.

The bidding process for the project envisaging development of 1,596 residential flats at Sector-5 in Bahadurpur and commercial hubs over 0.5463 acres at Hanuman Nagar and 1.7 acres at L-sector in Kankerbagh had started on June 26. The board had issued the request for proposal that day.

All the flats under the residential project of the housing board at Sector-5 in Bahadurpur Colony would have two bedrooms, a hall and a kitchen (2BHK). Each flat would be a built on 774sqft. Total 1,596 2BHK flats would be built in 14 towers, each having 19 floors. Each floor would house six flats. According to sources, the estimated cost for the residential project is Rs 561 crore.

Under the public-private partnership mode of execution of the projects, the private developer would build the housing units on the residential land according to the terms and conditions of the housing board. In return, they would get commercial land on which they would get lease rights for development of hotels, malls and offices among others.

Some local developers did not find the proposal of the board exciting. “The project of the housing board is not at all financially viable for any developer. It wants us to develop property worth over Rs 500 crore and hand it over to them first. Thereafter, we would get commercial property worth Rs 100 crore. It is not economical for developers. Besides, the board would give land on lease. No one is interested in lease-hold properties these days,” said Narendra Kumar, director, Kumar Buildcon, Patna.

Few developers said they could take up the project, provided the housing board accepted their conditions. “We do not agree with the original stipulations. We have given our suggestions to the board. If the housing board incorporates our suggestions, we shall definitely bid,” said Sachidanand Rai, the managing director of Calcutta-based Eden City group.

realty register

Projects

Development of 1596 residential flats at Bahadurpur

Lease for commercial development on approximately 0.5463 acres at Hanuman Nagar and 1.7 acres at L-Sector, both in Kankerbagh

Money matters

Estimated project cost: Rs 561 crore

Timeline

Initial deadline for bid submission: September 20 lRevised deadline for bid submission: October 18