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GIDC to e-auction 16 plots at Verna under new norms

The GIDC plans to lease out 16 plots, which measure a total of 2.3 lakh sqm, through the auction for establishment of industrial enterprises in Verna Industrial Estate.

The Goa Industrial Development Corporation (GIDC) is set to conduct the first e-auction of prime industrial land under the new simplified auction process.The GIDC plans to lease out 16 plots, which measure a total of 2.3 lakh sqm, through the auction for establishment of industrial enterprises in Verna Industrial Estate.

The e-auction will be carried out on the NIC e-auction portal from March 13 to 15.In December, the GIDC notified the new land allotment, transfer and sub-lease regulations, which stipulate that 20% of the industrial plots will be auctioned.“Bids will be placed on land premium only. The annual lease rent is set at a subsidised rate,” said GIDC managing director Pravimal Abhishek.

The plot sizes of the land being auctioned vary from 1,000sqm to 42,300sqm.

The GIDC has settled on an 80:20 ratio where it will levy a high premium on 20% of the industrial plots at Verna, Sancoale and Latambarcem and auction the plots through a dedicated portal.

The GIDC relies on leasing industrial land to earn an income but in order to encourage local entrepreneurs, most of the industrial plots are allotted at fixed rate. GIDC aims to continue with a fixed rate for industrial plots for all the 24 industrial estates except for 20% of the industrial plots at Verna, Sancoale and Latambarcem.

This strategy is part of the value capture financing model that the GIDC aims to explore. The corporation hopes that money earned through the auctions can support its the financial needs.

Goa has liberalised the transfer and sub-lease mechanism, allowing for ease of exit for businesses. The e-auction is open even for IT companies, logistics firms and for warehouses. The state is expected to make a strong investment pitch at the Invest Goa – 2024 Summit that will be held on January 29.

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