Industrial land lease extended to 99 years

Industrial land lease extended to 99 years

 The Department of Industries has extended the land lease period for land allotted by Karnataka Industrial Areas Development Board (KIADB) from 30 to 99 years.
The State Cabinet had given its nod for the proposal recently.

Officials state the 99-year lease term will provide a ‘near ownership’ to the industries who intend to set up shop in Karnataka.

Lease-cum-sale deed

Previously industries could execute a 30-year lease-cum-sale deed with the government. If the industries were up and running within a period of three years, they could press for the sale of the land.

This led to the many controversies concerning the sale of prime land and the subsequent misuse.

The policy of 99-year lease is being followed by neighbouring states including Tamil Nadu, Maharashtra, Kerala and others.