Bengaluru Business Corridor: Deadlock over as BDA begins issuing awards for land

Bengaluru: In what may finally make a breakthrough for the long-pending Bengaluru Business Corridor project, the Bangalore Development Authority (BDA) has issued compensation awards for the first 100 acres of land, a significant step though it covers just 4% of the total land required for the project. 

Senior officials in charge of the 74-km project, earlier known as the Peripheral Ring Road project, said the pace of awards will accelerate in the coming days, putting the land acquisition machinery into its most active phase since the project was conceptualised. “By this Friday, we hope to issue awards for an additional 300 acres of land,” L K Atheeq, Chairperson of the Bengaluru Business Corridor, told DH. 

“We will issue Section 12(2) notices after the awards so that land-losers can opt for the compensation of their choice,” he said. “The efforts over the past one and a half months have finally started to show results.”

The project needs 2,560 acres, of which about 140 acres are stuck in litigation.

As many as 45 land owners have approached the court challenging the land acquisition process. 

Each award order — running into 21 pages — lists the survey number, land extent, valuation, compensation methods, court directions, litigation history and the final judicial clearance that enabled the BDA to proceed with the project.

It also details six types of compensation: general award (cash compensation), consent award (higher compensation for landowners who voluntarily agree), commercial sites on a 65:35 ratio, residential sites in Dr K Shivaram Karanth Layout or new layouts along the BBC alignment, transferable development rights (TDR), or additional floor area ratio (FAR).

The award document reviewed by DH shows a stark difference between compensation under the general award as per the 1894 Act and the consent award.

For instance, a landowner in Bidarahalli hobli would receive Rs 5.10 crore for 37 guntas (nearly an acre) under the consent award, while compensation under the general award would be as low as Rs 16 lakh. Under the commercial-site option, the landowner is eligible for 7,733 sqft, while the residential-site entitlement depends on the prevailing guidance value. TDR appears more attractive on paper — with certificates worth Rs 8.53 crore but encashing them remains a challenge. FAR is granted as per the Revised Master Plan 2015.

The document notes that, after nearly two decades of delay due to litigation, the land acquisition process has reached a significant step, and the BDA is now empowered to disburse compensation and take possession of the land.

“If land-losers do not respond within the deadline, we will deposit the cash compensation in court and proceed with the acquisition process,” a senior land-acquisition officer said.

Despite a wide spread of compensation options, there is a strong resistance from landowners particularly in eastern Bengaluru, stating BDA’s cash compensation is less than 25% of the market value. They are also opting for residential or commercial sites as the BDA is known for delaying allotment by many years. 

“The resistance is genuine as the BDA is not addressing the concerns of farmers,” Krishna, whose land is also notified for the project, said. “The guidance value of the notified land has been suppressed for the last 20 years. We insist that compensation be calculated based on the guidance value of 2023, which was withdrawn,” he added.