Farmlands Fuel Illegal Real Estate Deals near Hyderabad

Representative image created by AI
Representative image created by AI

HYDERABAD: The increase in land prices around Hyderabad has led to a surge in the illegal sale of government-assigned lands, particularly in Rangareddy, Medchal, and Vikarabad districts.

While these lands are designated for agricultural use and cannot be transferred legally, thousands of acres are being sold, with assignees reportedly selling to real estate developers for layouts, gated communities, villas, and apartment projects.

This provides quick cash for assignees and cheaper land for developers compared to the market. Officials acknowledge it’s mutually beneficial.

Flagrant Violations

For instance, in Mankhal village, assignees entered into an illegal agreement with a developer, transferring two acres under a 33:67 development share. TOI has obtained a copy of this agreement. In Tukkuguda, a developer acquired almost 24 acres of assigned land unlawfully for a gated community. Similar infractions are emerging in Kandukur, Yacharam, Abdullapurmet, and Maheshwaram mandals.

Officials estimate that approximately 10,000 acres of the 1.20 lakh acres of assigned land in Rangareddy district have been unlawfully appropriated. Following public land acquisitions, about 75,000 acres of assigned land remain.

Rangareddy district collector C. Narayan Reddy stated that illegal assigned land is being reclaimed whenever violations are discovered. “In Tukkuguda, 24 acres in five parcels have been retrieved for public purposes,” he mentioned.

Chevella revenue divisional officer K. Chandrakala noted that notices have been sent to farmers in Peddavidu, Maddur, and Solipet villages regarding violations, while nearly 100 acres in Moinabad and Shankarpally face resumption. Reports indicate that illegal activities are ongoing in areas such as Ghatkesar and Shamirpet in Medchal Malkajgiri district.

Usage by Developers

Sources indicate that developers often utilize unlawfully acquired assigned land for internal roads, open spaces, and access routes within layouts, thereby avoiding the costs associated with purchasing legitimate land. In some cases, assignees sell plots outright, while in others, they engage in development agreements with builders.

Assigned land was initially allocated by the government to landless individuals for farming, with strict stipulations preventing sale or transfer, although it can be inherited.

The Telangana Assigned Lands (Prohibition of Transfers) Act, 1977 grants the government authority to reclaim such land in instances of violation.

  • Published On Aug 20, 2025 at 08:57 AM IST

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