The Greater Mohali Area Development Authority (GMADA) is facing significant delays in several key housing projects, which are beginning to stir concerns within the local real estate market. The most prominent of these setbacks involves the Eco-City 3 project in New Chandigarh, a major initiative that has been stalled due to protracted land acquisition processes.
The GMADA’s ambitious Eco-City 3, earmarked for development in the Mullanpur area, requires the acquisition of 713 acres across various villages including Rasulpur, Salamatpur, and Dhode Majra. Although the authority initiated land acquisition procedures in line with the Master Plan of New Chandigarh, the process has encountered delays. The preliminary notification under Section 4 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act was issued on November 15, 2022, but the follow-up notification under Section 11 has been deferred from June to December 4, 2024, due to administrative reasons.
Further compounding the issue, other high and low-density housing projects are also experiencing delays. The GMADA had planned to begin land acquisition for these projects in June; however, this has now been postponed to December 4. This delay affects a total of 309 acres in Mullanpur Garibdas village, crucial for developing new housing schemes. In addition, a planned infrastructure project to construct a road dividing Sector 91 and Sector 91 Alpha in Mohali, requiring 14.75 acres of land, has faced a delay from June to August 31.
GMADA officials attribute these delays to administrative hurdles and the recent election cycle. The impact of these delays on the local real estate market is substantial. Approximately 200 developers are active in the Mohali district, contributing significantly to housing development across Mohali, Kharar, Zirakpur, and Derabassi. GMADA’s major project launches traditionally exert a strong influence on the real estate sector, often leading to increased competition and market activity. Delays in these projects can lead to a slowdown in the market, as private developers and potential buyers wait for GMADA’s initiatives to unfold.
A Spokesperson of the Mohali Property Consultants Association (MPCA), noted, “GMADA’s projects often boost the real estate market by increasing competition. Any delays can negatively impact market sentiment.” The ripple effects of these delays are likely to be felt across the region, as both buyers and developers adjust their strategies in response to the shifting timelines of GMADA’s projects.
