Chandigarh Housing Board auction turns out to be flop show

Tribune News Service

Chandigarh, May 25

The Chandigarh Housing Board (CHB) has yet again received a poor response to its residential as well as commercial properties put up for auction on a freehold basis.

The CHB has recently decided to convert its commercial and residential units from leasehold to freehold to attract buyers.

The CHB had invited e-bids for the sale of 29 residential and six commercial units on a freehold basis. When the bids were opened today, the CHB was able to sell only two each commercial and residential units. The CHB earned over Rs 2.15 crore from the auction of the four properties. The residential units were sold for Rs 47 lakh against the reserve price of Rs 43.25 lakh, whereas the commercial units were auctioned for Rs 1.68 crore against the reserve price of Rs 1.65 crore.

In a previous auction held last month, the CHB was able to sell four commercial and one residential unit out of 10 commercial and six residential units on a freehold basis.

In an auction held in February, the CHB had invited bids for 10 residential units on a freehold basis, 24 residential units on a leasehold basis and 109 commercial units on a leasehold basis. However, it was able to dispose of only two residential units on a freehold basis and three commercial units on a leasehold basis and there were no takers for the residential units on a leasehold basis. An official said from April 2021 to February 2022, the CHB was able to sell 170 units and netted a total of Rs 115.46 crore. In an e-auction held on December 27 last year, the CHB could sell only five of the 113 commercial units on a leasehold basis. Similarly, only three of the 27 residential units were sold on a leasehold basis. The CHB also received a lukewarm response to its residential properties on a freehold basis as it could sell six of the 19 units put up at the e-auction.

In an e-auction held on September 1 last year, the CHB could sell only two of the 149 commercial units on a leasehold basis, two of the 33 residential units on a leasehold basis and eight of the 34 residential units on a freehold basis. On August 10 last year, the CHB had received five e-bids against 151 commercial units on a leasehold basis and could sell only three units. Similarly, 15 e-bids were received against 38 residential units and only five units could be sold to the highest bidders.

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