MAPUSA
Want to bid for Goa Housing Board land? Be prepared to put up crores even before the bidding begins.
And yes, you need Rs 1 crore upfront just to bid for a plot whose Housing Board reserve price is Rs 95.70 lakh!
The Goa Housing Board has put two sizeable plots at Harvalem-Sanquelim and Madel-Tivim up for e-auction, but prospective bidders will have to arrange an Earnest Money Deposit (EMD) of Rs 1 crore and Rs 3 crore respectively just to enter the race. For the 3,828-sq-metre Harvalem-Sanquelim plot, the Board has fixed a reserve price of Rs 2,500 per sq m, putting its total base value at Rs 95.70 lakh. Yet, an intending bidder has to deposit Rs 1 crore as EMD to participate in the auction – more than the property's entire reserve value. The plot has an approved FAR of 100. The prevailing market rate for residential plots in Sanquelim is around Rs 12,000 per sq m, considerably above the Housing Board's reserve price. The financial entry barrier is even higher for the 13,795-sq-metre Madel-Tivim plot. Its reserve price has been fixed at Rs 13,500 per sq m, giving it a base value of around Rs 18.62 crore, while the EMD has been fixed at Rs 3 crore.
The Tivim plot has an approved FAR of 150, while prevailing land prices in the area are around Rs 18,000 per sq m.
In both cases, the reserve price is only the starting point. The properties will ultimately go to the highest bidders, meaning the final prices could be substantially higher than the Board's base values. The auctions are being conducted through the online system, with applications open from September 25 to October 19 through the Goa government's official portal. Applicants must additionally pay Rs 5,900 as registration charges. The registration fee will not be refunded if an applicant fails to win the auction, although the EMD will be returned to unsuccessful bidders. The two auctions therefore come with a substantial upfront financial requirement: Rs 4 crore in EMD alone if an applicant wants to enter the bidding for both properties. While the Board's reserve rates appear below the prevailing market rates cited for the two locations, the size of the EMD means that only bidders capable of mobilising crores of rupees upfront can enter the auction.
