A 5.625-acre parcel of land around Srinagar’s stalled Sangarmaal City Centre has fetched ₹421.75 crore in an overnight auction, more than double the government’s initial expectation of ₹200 crore, Times of India reported.
Bidding for the land, located in front of and behind , began at 11am on 25 August and continued into the early hours of 26 August. The highest bid reached ₹421.75 crore on a full-lease basis.
Posh Polo View neighborhood
The property is located in posh Srinagar neighborhood near Lal Chowk, the city centre. It is behind the and opposite Polo View, Srinagar’s pedestrian-only high-street market lined with cafes and boutique stores. One end of the parcel touches Chunt Khul, a stream running through Srinagar. Dal Lake is about 1km away, and Lal Chowk is nearby as well, the Times of India report said.
The land’s location and development potential attracted strong interest from bidders.
Parmesh Construction Company Ltd, a consortium comprising Pahalgam Green Hotels, a J&K-based firm and Bhutani Infra Ltd, emerged as the successful bidder.
An official told the newspaper the auction as an important development for .
“My heart was racing as the bid was going up and up. It is an important project for J&K and this bid will open investment in the Union Territory after a long time,” the official said on Tuesday.
What is the project?
Sangarmaal City Centre was conceived in 2015, when then chief minister announced the project as a commercial venture aimed at creating a modern commercial hub in Srinagar.
The complex was developed with landscaped areas, fountains, a basement, surface parking, lifts and escalators. Its commercial inventory included 62 shops in the main commercial module, 38 spaces in the , 11 kiosks, two food courts, a restaurant and 11 office spaces.
However, the project struggled to attract commercial activity. Most shops remained shut despite being acquired by buyers, and the premises eventually became largely unused.
The latest auction is expected to give the site a fresh development opportunity. The front and rear portions have been offered on a full-lease basis, with a multiplex and other commercial facility proposed.
Batamaloo land also attracts strong bidding
The Sangarmaal auction was followed by another major land auction at Batamaloo, around 6km away.
The (SDA) is seeking to redevelop around 70 kanals (8.75 acres) of bus-stand land that has remained largely underused and vulnerable to encroachment.
Bidding for the Batamaloo property opened at ₹95 crore on 27 August and rose to ₹305 crore by the evening., another J&K-based consortium, emerged as the highest bidder.
The Batamaloo property is also being offered on a full-lease basis, with proposed development including shopping facilities, office spaces and housing. The two auctions have put a spotlight on the commercial potential of large, underused public land parcels in Srinagar, the summer capital of Jammu and Kashmir.