• Compensation for BDA acquired land (PRR2)

Hello Sir,

Regarding Compensation for land acquired by BDA for PRR2 (Bangalore business corridor),
I will be notified soon, my property is in Bangalore urban, so compensation will be 2 times Govt value + Solatium equal to Govt value, which works out to be 1:3.

But the question is, 
1)
The SR value of the agriculture property is Rs 2.80 Crore/acre, 
but SR value of the Industrial converted land is not not mentioned anywhere,
so, if the same property is industrial converted, what will be the compensation provided by BDA. ?

2) 
Their is a nearby Industrial area 300 meters away, SR value is Rs 27000 / Sq.meter, (approx 11 crore per.acre)
it is much higher than agriculture land.
So, can I ask the same price as in the nearby industrial area ?

So, what will be the compensation provided & on what basis,
Request somebody to help me understand this.

Thank you very much in advance.
Asked 11 hours ago in Property Law
Religion: Hindu

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4 Answers

1) if an industrial conversion order exists but the specific SR value is not officially published, the BDA will refer the case to the Sub-Registrar to derive an appropriate "Guidance Value."

 

2) The valuation is determined based on the potentiality of the land, its changed usage (non-agricultural/industrial), and nearby comparable land prices.

 

3)Because previous PRR compensation awards became legally contentious, the BDA and State Cabinet have been offering revised negotiated packages that can range from \(\text{Rs. } 3 \text{ Crore}\) to upwards of \(\text{Rs. } 15 \text{ Crore}\) per acre, depending on the specific village and location along the corridor

 

Ajay Sethi
Advocate, Mumbai
100453 Answers
8214 Consultations

The Guidance Value (or Guidance/Sub-Registrar value) is the absolute baseline for BDA's calculation. If your land has been officially converted for industrial use through the Revenue Department (with a formal conversion order and payment of conversion conversion charges) before the final acquisition notification, the BDA cannot legally value it as raw agricultural land.

If a specific industrial Guidance Value for your exact survey number or village block isn't listed in the Sub-Registrar (SR) charts, the Land Acquisition Officer (LAO) is  required to look at the closest applicable industrial rate. They will use the baseline industrial SR value of the same village, or the immediate adjacent village block, to calculate your baseline value. If the land is still registered as agricultural in the revenue records even if you are using it for industrial purposes or it sits right next to factories the BDA will use the {Rs 2.80 Crore/acre} agricultural rate as the baseline.

Land acquisition laws state that properties within the same vicinity must be treated equitably, but they weigh infrastructure and access. If that nearby area is an established KIADB industrial layout with developed roads, utilities, and high accessibility, the BDA may state that  its guidance value is  higher than standalone converted land nearby.

Ensure your land conversion documents (DC conversion order) and e-Khata clearly reflect "Industrial" status. If it is still listed as agricultural, the BDA will map it to the $\text{Rs 2.80 Crore}$ baseline. Get a certified copy of the sales statistics and guidance values of that neighboring industrial pocket from the Sub-Registrar's office. You will need this as documentary evidence to present to the Land Acquisition Officer when you submit your petition for higher compensation.

T Kalaiselvan
Advocate, Vellore
90657 Answers
2523 Consultations

Dear Client,

For BDA land acquisition in Bangalore (for PRR‑2/BBC), compensation is tied to the classification and guidance value (SR value) of your land at the time of acquisition, not just the type of conversion you have on paper, so if your land is officially notified as “agricultural” in the records, BDA will usually pay on the agricultural SR value + solatium (typically 2 times government value + 100% solatium, i.e., 1:3), even if you have converted it to industrial use. If the land is actually reconveyed and recognised as industrial in the revenue/registration records, then the compensation should be based on industrial‑guidance‑value, which is generally much higher (often several times the agricultural‑rate), but this depends on what BDA and the Revenue Department accept on the date of acquisition‑proposal.

You cannot automatically demand the same SR‑value as a nearby industrial area plot, because BDA uses village‑wise and type‑wise guidance‑values and negotiated award ranges for each project phase; however, you can (and should) argue for at least the industrial guidance value if your land is clearly converted and your area’s value is close to the nearby industrial‑zone, and you may also be eligible for negotiated‑compensation (cash, TDR, FAR or plots) instead of the traditional Land Acquisition Act 1894 award, which BDA is using for many BBC/PRR‑villages, giving up to several crores per acre where guidance‑values are high. Your practical next steps are: check your land’s current classification and SR value in the latest guidance‑value notifications, compare it with BDA’s published village‑wise negotiated cash compensation for other BBC/PRR villages, and, before giving consent, file a representation through a property lawyer asking BDA to consider your land as urban/industrial converted and to offer you compensation according to those higher SR values or negotiated package, rather than agricultural‑rates.

I hope this helps and if you have any further issues do not hesitate to contact us.

Anik Miu
Advocate, Bangalore
11270 Answers
126 Consultations

The compensation is decided by the government scheme and same you can get it by applying RTI

Prashant Nayak
Advocate, Mumbai
35004 Answers
256 Consultations

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