A proposed five-star hotel project in Sanand GIDC, involving an estimated investment of Rs 150 crore to Rs 200 crore, has stalled after the developer alleged that a 22-metre utility corridor shown in the Gujarat Industrial Development Corporation’s auction documents and approved master plan is missing at the physical site.
The Delhi-based company bought a plot of around 20,000 sq m through a GIDC e-auction and has paid approximately Rs 25 crore for it, according to the report. The developer said it was unable to proceed with taking possession after finding differences between the plot configuration shown in the auction layout and the site offered by GIDC.
The company has written to GIDC and the chief minister seeking corrective action. In its letter to GIDC, it asked the corporation to restore the 22-metre utility corridor in front of the plot in accordance with the originally approved master plan and e-auction documents. It also requested that physical possession be handed over only after the site is brought into conformity with the approved layout.
The developer alleged that the discrepancy involves the physical plot, a revised sketch subsequently shared with the company and the original master plan. The utility corridor is a key part of the dispute because its absence changes the configuration and access conditions represented in the documents used for the auction.
Sahil Gupta, a partner in the company, said the firm had completed payment in January but could not move ahead with the project. “We paid the full amount of around Rs 25 crore in Jan, but when we were offered physical possession, the 22-metre utility corridor shown in the layout was missing,” Gupta said, according to the report.
The company said it had already tied up with a leading international hotel brand and planned to develop a 250-room property on the site. Gupta said the project could not proceed until the company received possession of the same plot represented in the auction layout.
The dispute places the focus on the relationship between industrial land auctions, approved layouts and physical site handover. For developers, differences between planning documents and on-ground conditions can affect access, site design and the ability to commence construction after payment. For the public authority, the issue concerns whether the land delivered to a successful bidder matches the configuration offered during the auction.
The report said the company had approached GIDC several times and had also sought intervention from the chief minister. Repeated calls to GIDC officials went unanswered, leaving the corporation’s response and the proposed corrective steps unclear. The next stage will depend on GIDC’s examination of the auction documents, master plan and physical site conditions, followed by a decision on possession and restoration of the corridor.


