At a time when private real estate market in and around the city is witnessing a slump, the public sector-led construction projects are set to fill the supply gap in the realty sector.

Patna would soom witness a number of swanky commercial establishments, including multiplex and hotels, at Kankerbagh.

Bihar State Housing Board (BSHB) has awarded the contract of development of commercial property over 2.25 acres in that area to Ultra Home Construction Pvt. Limited, an arm of Noida-based Amrapali Group.

The urban development and housing department has also issued a notification for development of mini-township envisaging construction of 1,054 residential flats in Ara, around 100km west of Patna. The flats would be developed in engineering procurement mode, meaning the board would itself fund the project.

Commercial development

With regard to commercial establishments; multiplex, hotels, offices, shops, banquet hall among others would be developed by Ultra Home over an area of 1.70 acres at Lohia Nagar and 0.5463 acres at Bahadurpur.

“The project has already been approved by the cabinet and the contract for the same has also been awarded to Ultra Home. The bidding for this project was done as maximum bidding premium model, under which Ultra Home offered to pay Rs 30 crore for 1.70 acres at L-Sector and Rs 15.11 crore for 0.5463 acre at Bahadurpur as premium. The land is being given to them on lease for a period of 30 years and they can earn profits on their investment through means of rent or sub- lease of the commercial property,” said a senior official at the BSHB.

Sources claimed that it would take around three years time for the private firm to develop the commercial establishments at the land allotted to them.

1054 flats at Ara

The urban development and housing department in the last week gave administrative approval for development of a mini-township in Daulatpur village in Ara block of Bhojpur district. The project envisages development of 1054 flats over an area 16.50 acres with an estimated outlay of Rs 475.82 crore.

“The state cabinet has already approved the residential project at Ara. The residential colony would be developed as a self-sustained mini-township, where 84 per cent of the total land would be left as open area. The total built-up area under the project would be 1,25,151sqm. The residential flats would be allotted on a lease period of 90 years,” said a senior official of the BSHB.

Sources claimed that there would be three types of flats in Daulatpur, Ara, project of BSHB — 2-bedroom-hall-kitchen (BHK), 3BHK and 4BHK. A total 504 flats would be 2BHK having built-up area of 91.10sqm each, 486 flats would be 3BHK having built-up area of 105.40sqm each and the remaining 64 flats would be 4BHK each spread over a built-up area of 163sqm.

“The bidding process for construction works under this project would commence in a couple of days. After the allotment of the flats, the overall maintenance and upkeep of the colony would be looked after by resident welfare association,” said the BSHB official.

Project revival

BSHB in May, 2011, fixed a goal of providing 1 lakh housing units over 1,000 acres across the state in the next five years along with development of commercial facilities. The bidding process for the first stage of this scheme — development of around 25,000 new flats across the state, including 10,000 in Patna — started in early 2013 but it failed in the later stages.

Sources in the BSHB claimed that most construction firms were not content with the stipulation of only 30-year lease period for allotment of the land on which the flats are to be developed. Thus, BSHB extended the lease period to 90 years and got it approved from the state cabinet in the last month.

“We are now going to issue re-tender for a number of projects with 90

years lease period including 1,596 flats at Sector 5 in Bahadurpur,” said the BHSB official.