VISAKHAPATNAM: Land and plot auctions by the Visakhapatnam Metropolitan Region Development Authority (VMRDA) reflect public interest in the city’s real estate. The recent auctions on December 17 and 18 for remaining plots in middle-income group (MIG) layouts gained attention, driven by nearly ₹2.5 lakh crore in investments announced in Anandapuram, Kapuluppada, and Rushikonda, particularly in IT and digital infrastructure.
At the Palavalasa MIG layout, located three kilometers from Tarluwada village—where Google’s data center is being established—prices soared. Seven plots, initially priced at ₹14,500 per square yard, saw bids rise significantly, with the highest reaching ₹23,700 (a 64% increase), while the lowest bid was ₹18,800, 30% above the base price.
VMRDA began developing Palavalasa nearly three years ago along the national highway. Demand had remained low until the recent investment announcements, especially Google’s, sparked a renewed interest.
In Kapuluppada, poised to be a premier IT hub thanks to investments from major firms like Cognizant, TCS, and Infosys, the upset price was set at ₹23,500 per square yard, with ten plots receiving bids between ₹32,000 (36% higher) and ₹34,500 (47% higher).
Observers note that this surge results not only from IT investments but also from upcoming infrastructure and luxury hotel projects between Bheemili and Bhogapuram, the Bhogapuram airport scheduled for June 2026, and the associated EduCity in Bheemili mandal. Interestingly, many of these plots remained unsold in prior auctions during less favorable market conditions.
VMRDA chairperson MV Pranav Gopal stated that the authority is advancing Chief Minister Chandrababu Naidu’s vision for affordable housing. “With corporate giants investing heavily in Visakhapatnam, the city is on the path to becoming a megacity. We’re developing layouts and housing projects to offer land and apartments at prices below prevailing market rates. The assurance of our layouts being litigation-free, along with necessary infrastructure like roads and parks, drives demand,” he said.
Private developers often monitor VMRDA auctions to gauge market sentiment and adjust their pricing strategies. For instance, the Dakamarri joint layout auction six years ago established a benchmark for land prices in the area.
Currently, plots in private layouts around Kapuluppada are being sold at ₹25,000–₹30,000 per square yard, while VMRDA auctions are hitting nearly ₹35,000—this trend is anticipated to influence private layouts and buyers significantly.
Moreover, the renewed momentum is evident, with all 25 plots auctioned in Jiyyannavalasa and Raghumanda MIG layouts in Vizianagaram, as well as in Tummapala in Anakapalli, being sold.
