Bhubaneswar, Oct. 21: The Bhubaneswar Development Authority (BDA) is eager to form partnership with those owning land on city outskirts. If the new land use policy of the BDA gets government nod, private landowners can become the agency’s partner in infrastructure and real estate development.

As per the draft proposal, if a landowner gives land to the BDA then the person will be entitled to get the prescribed compensation amount as well as 10 per cent of the land he has given up. For example, if a person donates 10 acres for the proposed 1,208-acre South City project, the BDA will pay the landowner for the plot and in addition the person will be given one acre of land having infrastructure facilities such roads, power connection, sewerage and drains.

Similarly, those having land on the outskirts can float a real-estate business with the BDA and in return use the agency’s name as a branding proposition for the project. This ploy, the BDA feels, will encourage more people to become partners in the development process instead of selling land to private developers without getting due return.

“The landowner will have every right to enjoy physical infrastructure developed by the agency,’’ said BDA vice-chairman Deoranjan Kumar Singh on the sidelines of the ongoing property expo organised by the Confederation of Real Estate Developers’ Association (India), Orissa branch.

Singh, however, added that there was a “co-developer concept’’ in the draft policy to attract landowners to come forward and invest their land for their future financial safety.

“It has been seen that landowners in prime localities of the city are selling land to developers for lakhs of rupees. They then embark on a flashy lifestyle of swanky cars and luxuries. Once the money is spent, the landowners return to the bottom of the pyramid and work as land brokers for the developers. However, this co-developer concept will allow landowners to use BDA’s brand name for enhancing the unique selling proposition of their own projects. However, to do this they have to offer only 11 per cent of the equity of their property to BDA as a token amount. The infrastructure of the project will also be developed by BDA engineers but the cost has to be borne by the landowner.”

“To avail the co-developer concept, BDA draft states a minimum of 10 hectares is required. But the final decision will be taken by the state government,’’ said the senior BDA official.

Hoping that the new policy will help to get land for the proposed South City project, a BDA official said so far 100 acres was in BDA’s possession while another 190 acres of private land might be acquired soon in Madanpur-Jagasara area, where the sector-I of the project would come up. Of the 1,208 acres, 200 acres would remain as a green belt.

Singh also said the new policy would be implemented in all integrated townships around the city.

“With real estate developers seeking land with adequate infrastructure on city outskirts, BDA is also planning to adopt Gujarat’s successful town planning scheme in the new areas,’’ he added.