The Greater Ludhiana Area Development Authority (GLADA) faced embarrassment for second time in a row with the auction of 8-acre prime land getting cancelled on Tuesday.
While the reserved price was kept at Rs 415 crore, not a single bidder arrived at the auction venue. It was second auction of this land which earlier had offices of canal, irrigation and a rest house.
More than one and a half years ago, office buildings were razed down after they were declared unsafe. Facing an extreme financial crunch, the Punjab government through its body PUDA (Punjab Urban Development Authority) had decided to auction the land.
The first auction was held in February this year when not a single bidder turned up. Then also, GLADA had justified ‘’recession in real estate market’’ as reason for failure of the auction.
GLADA additional chief administration Kuldeep Singh Vaid said, “Recession in the market is the only reason we see for poor response to land’s auction. It is prime land with excellent location. There can be no other reason.” The land is opposite the mini-secretariat.