With available land parcels at its disposal shrinking rapidly, the Delhi Development Authority (DDA) is turning to a license-based model for land disposal. This model allows the agency to retain land ownership and is being posited as a more sustainable source of recurring income, said the DDA in a statement.
On Thursday, the land-owning agency approved its annual budget, which projected that it would receive Rs 9,560 crore and spend Rs 8,720 crore in the financial year (FY) 2025-26. This is a surplus of Rs 840 crore, an increase of more than 125% from last year’s surplus of Rs 340 crore.
The DDA also expects to earn Rs 4,000 crore from house sales in 2025 –26 — a massive six-fold increase from Rs 664 crore in 2022–23, and a 26% rise over the Rs 3,176 crore it earned in 2024-25 from selling flats.
The government agency attributes the increased demand for housing inventory to reforms such as undertaking a first-come-first-served model, scrapping ownership restrictions, and launching a professional marketing strategy.
Meanwhile, new projects announced in the Budget include a sports complex in Narela worth Rs 250 crore and a multi-level car park at Netaji Subhaji Place worth Rs 38 crore. Around Rs 100 crore will also be spent on the ongoing construction of Bharat Vandana Park in Dwarka. Rs 35 crore has been set aside for in-situ slum rehabilitation projects, out of the Rs 4,140 crore earmarked for capital expenditure.
Thursday’s meeting was chaired by L-G V K Saxena, who is also the DDA chairman. “The L-G said the Authority will undertake several developmental projects during the current financial year… that will focus on better housing, aesthetic upgradation of the landscape, and restoration and preservation of the Capital’s heritage,” a statement from the DDA noted.
Other major projects that have been approved:
-Hotels in Dwarka and Nehru Place
-A hospital in Dwarka
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-A multi-integrated stadium and sports complex in Rohini and Narela
-Corporate offices in Rohini
-A gold souk in Dwarka
These are to be developed on a licence-fee basis. The DDA has set an ambitious target of Rs 1,000 crore in licence fee collections for 2025–26 — a sharp jump compared to past financial years.
Other decisions taken in the meeting include approval of a 10% hike in land rates for leasehold-to-freehold conversion of commercial, industrial, and multilevel parking properties for 2025–26 and raising the pre-determined rates (PDRs) for plot and flat allotments in developed areas by 10%.
In another move, the DDA cleared the change of land use for a 1.41-hectare area at Minto Road from ‘Recreational’ to ‘Residential’ for a MCD staff quarters.
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Additionally, it extended the timeline for layout plans and approvals for industrial cluster redevelopment in non-conforming areas, with the final redevelopment deadline now set for July 31, 2029.
