The Andhra Pradesh government is expected to rake in Rs 1,800 crore from the sale of 60 acres of land in Hyderabad''s Knowledge City, that''s Rs 30 crore an acre. CNBC-TV18 reports on who''s likely to move in.
The property already has its infrastructure in place, boasting of the best roads in Hyderabad. Besides DLF, Raheja and L&T have shown interest in the Knowledge City land.
The proposed Knowledge City is an IT park spread across 414 acres in Gachibowli. It''s right next to Hitech City, which houses Infosys, Wipro and Microsoft. That''s why the Andhra Pradesh Industrial and Infrastructure Corporation (APIIC) expects to rake in big bucks. Officials at the corporation say even though the bids will open at Rs 16 crore an acre, they expect the final price to shoot past Rs 30 crore.The property already has its infrastructure in place, boasting of the best roads in Hyderabad. Besides sources from the government tell us that companies like DLF, Raheja and L&T have shown interest in the Knowledge City land.
Even so Hyderabad''s property consultants are sceptical about the feasibility of building an IT park in the area. They say the new service tax on rentals will delay the break-even point. They say the only way the park will be profitable is if it gets SEZ status. Inspite of all that, the government hopes to get twice as much as the reserve price of Rs 16 crore an acre.
Source: Money Control
