BBMP gets back mortgaged buildings

Wriggling to come out of the neck-deep pool of debt, the Bruhat Bengaluru Mahanagara Palike (BBMP) heaved a sigh of relief on Friday when it got back its two commercial properties—Rajajinagar Market, abattoir on Tannery Road, that was mortgaged with HUDCO for Rs 169.03 Crore loan raised in October 2013.

Deputy Chief Minister and Bengaluru Development Minister G Parameshwara on Friday announced that the BBMP has got back its properties after settling all the dues with the Housing and Urban Development Corporation (HUDCO).

Both the commercial properties owned by the BBMP had been mortgaged with the HUDCO during BJP’s tenure owing to financial constraints.

Along with these properties, nine other commercial properties including markets, hospitals and museums were mortgaged to raise a loan of Rs 2,389 to meet various expenses of the civic body.

Of the mortgaged properties Malleswaram market, Johnson market, Mayo Hall court and Kempegowda museum have been taken back by the BBMP by clearing the dues worth Rs 1.088 crore including the market interest rates over the raised loan.

“Today we have got back the Rajajinagar complex and slaughterhouse on Tannery Road. The remaining properties comprising KR Market, West zone BBMP office, PUB building and Kalasipalya market will also be taken back after paying the pending loan amount of Rs 652.43 correct loan," Parameshwara revealed.

The DCM also stated that by retaining its buildings, the BBMP has begun to stand on its own feet financially.

“The civic body has also received 'A' rating in ICRA rating, which marks the financial progress of organisations," he said. The civic body as against the property tax target of Rs 3,000 crore for the year 2018-19 has already collected Rs 2,031 crore and hopeful of reaching the target within March 2019.