HUDA sells Gurugram commercial property for record Rs 842 crore to IKEA

Sushil Manav

Tribune News Service

Chandigarh, November 1

Haryana Urban Development Authority (HUDA) in its single largest property auction till date has sold approximately 10 acres of commercial land for 842 crore in Sector 47 of Estate-II of HUDA Gurugram.

The site was put for e-auction on October 6 this year and was successfully auctioned to IKEA, a multinational group, headquartered in the Netherlands, yesterday.

IKEA group designs and sells ready-to-assemble furniture, kitchen appliances and home accessories and is the largest furniture retailer in the world. 

This e-auction has not only come as a relief to cash starved HUDA but is also being vouched as the single largest e-auction ever in the history of the state.

“It will augment our efforts in ensuring steady revenue stream for HUDA. This is not a one-off deal as we have planned out auctions of other Institutional and commercial properties across Gurugram city in the next few months.

“Gurugram has seen a reduced demand mainly due to rapidly changing investment scenario in real estate, especially in commercial section. However, we are hopeful to sell more properties and gather handsome revenue for HUDA,” said J.Ganesan, Chief Administrator HUDA.

Sources said that with IKEA marking its arrival in Gurugram, it very well highlights the importance of this city and its position in the global marketplace as a business and investor-friendly destination.

The company had opened its first showroom of the country in Hyderabad in August this year.

Ganesan revealed that this site was put for e-auction three times earlier but had no takers until yesterday when the multinational finally participated and emerged successful.

Meanwhile, HUDA, he said, has identified two big pockets of 2 acres commercial land in Sector 29 and 3 acres in Sector 43 with the reserve price of Rs 209 crores and Rs 532 Crores respectively in its upcoming e-auction.

Ganesan is optimistic about this deal reviving the business sentiment and acting as a major trigger for real estate market in Gurugram where HUDA has so far collected revenue of Rs 1066 crores in first two quarters of the year against Rs 417 crore collected in the entire 2016-17.