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Buying Industrial Land

In a country like ours with Multiple land acquisition policies, variation in rules on how land can be acquired, compensation paid to land seller, have added to the complexity of doing business and is a major impediment in investing in lands.

Now industries/investors need not scout for land in multiple places. To help you purchase faster, we offer lands on fast-track with clear legal opinion / clear title. These lands are classified as PUNJA (Dry-Agricultural) Lands by Tamilnadu Government's Revenue Department.

Visit our website to know more about Land Use Classification, www.LBRealtyindia.com

PRESENT SCENARIO

Industrial Lands turned out to be very costly and unaffordable particularly to Small & Medium Industries in the developed industrial region like Oragdam, Sriperumbudur,Thiruvallur,Maraimalai Nagar & Singaperumal Kovil.

Industrial Land supply from the Government promoted agency SIPCOT is limited, on the other side demand from Small & Medium industries for such land is high and remain unfulfilled.

JIT-Just in Time & in Sequence delivery to customer is the present Global Mantra in both manufacturing and logistics sector. Which is why industries/logistics companies catering to the large manufacturers are in need of locating as closer to their major customer's place like Oragadam and other locations.


KDF-Key Defining Factors in Land Pricing

Though there is a common say that Seller's Greedy, it is not true always. Keeping away our emotional approach, let us make a professional, unbiased approach to understand the KDF involved.

First and foremost fact is, land is the only commodity which cannot be produced. Meaning supply cannot be matched with demand.

Second even from the available land supply, not all can be put in to Industrial / Warehouse use. Land classified either as PUNJA (Dry-Agricultural) or as MAANAAVAARI PUNJA can be use for industrial & warehouse purposes.

Visit our website to know more about Land Use Classification, www.LBRealtyindia.com, also see the Government Order restricting the use of NANJA (Wet-Agricultural) the graphical illustration in pyramid structure .

Third, availability of Punja/Maanaavaari is limited due to the large acquisition done by SIPCOT particularly in Sriperumbudur Taluk, Kancheepuram District. SIPCOT has its Premium and large number of industrial parks (7) starting Irungattukottai-Hyundai, Sriperumbudur-Nokia, Maambakkam-Saint Gobain, Electronic Hardware SEZ - Motorola, Oragadam-Renault-Nissan, Pillaipakkam-Ashok Leyland Nissan,
Vallam-Vadagal-Yamaha (under process of approvals & clearances).

Thousands of acres is been acquired and absorbed by SIPCOT in this region. So dry land supply is reduced drastically to a very limited size here.

Fourth, among the limited Punja lands not all are suitable to set up industry/warehouse. Primary reason is, too many owners to deal with even in a smaller size of purchase. Land owners are mostly small time farmers and they may not have bank account so they would insist to transact in cash, which is not acceptable to Corporate.

Other reasons could be poor accessibility, or accessible through village, located in too remote place, may have title - legal issues with the ownership, etc.,

Fifth potential large lands are locked by investors to en-cash the opportunity.

Of course the factor GREEDY too making it unaffordable to Small & Medium enterprises.

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