By Accommodation Times Bureau
Major global and domestic companies in Hyderabad are jittery about the value of their real estate holding after the Telangana government initiated a series of legal cases questioning the legitimacy of the ownership of land holdings, both private and government auctioned. The latest episode that triggered a fresh wave of panic among investors is the largest land scam in Telangana involving hundreds of acres valued at atleast Rs 15,000 crore. After the opposition raised a hue and cry the government was forced to announce termination of suspicious land registrations.
“It’s time for the government to rethink and examine all the existing procedures and make clear titled land banks available for investors,” said Veera Babu, Cushman & Wakefield’s managing director. The latest land scam comes at a time Hyderabad’s real estate market was beginning to look up after several years and for the first time after Telangana state was formed in June 2014. Hyderabad has has been allotted to Telangana, forcing Andhra Pradesh to find a new capital.
“This would certainly affect the investment flowing into the (Telangana) market in the short term. The land scam has dealt a blow to this upswing and will create uncertainties in the minds of investors and buyersoccupiers alike,” said Shrinivas Rao, chief executive officer (Asia Pacific) of global property consultant Vestian Global Work Place Services.