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The Rail Land Development Authority (RLDA) has invited online bids for Re-Development of Vasundhara Loco Railway Colony in Varanasi. The total land area entrusted for this project is approx. 2.5 hectares, out of which about one hectare land is earmarked for redevelopment of railway colony and the balance 1.5 hectare land has been offered for commercial development.  The reserve price for commercial development is fixed at INR 24 Crores for a lease period of 45 years. The cost of mandatory redevelopment works for railway colony is INR 34.5 Crores. The developer shall also maintain the re-developed colony for a period of five years.

The site is situated at a prime location, in close proximity to Divisional Railway Hospital and Varanasi Junction which gives this site an added advantage. The area entrusted for re-development is proposed as a multi-story building complex with amenities such as parking space, lobby, passages, elevators, staircases, lifts, etc. The eligible developer offering highest lease premium shall be awarded the land parcel on lease through online open transparent bidding.

The pre-bid meeting for briefing of intending developers and for addressing their queries was held online on Friday, 6th November 2020. The site has elicited widespread response, with a good number of participants attending the online meet. The deadline for the submission of the e-bid is 22nd December 2020.

“The project is situated in Varanasi that has been identified as the part of the ambitious Smart City project of the Government of India. The project is connected to a railway station as well as to prominent landmarks via public transportation. The redevelopment of the railway colony will be first of its kind in this area, with planned development and will boost real estate market in the vicinity.” Shri Ved Parkash Dudeja, Vice Chairman, RLDA, said.

The project comprises a core component-a railway land wherein mandatory assets will be re-developed and the commercial component that will be leased out for 45 years. Approx. BUA for Commercial Development is 3.2 lakh Sq. ft., for a composite FAR of 1.94 i.e. 1.75 for Commercial and 2.5 for Hospitality.

Situated on the bank of the River Ganga, Varanasi is regarded as the holiest among Hindu religion hubs. It has played a pivotal role in the development of Jainism and Buddhism.  The city witnesses a huge footfall of devotees every year who come to bathe in the sacred waters of the holy river Ganga. It is also famous for Banarasi Silk.

Rail Land Development Authority (RLDA) is a statutory body under the Ministry of Railways, mandated with the monetization and development of vacant Railway land for commercial use, in addition to redevelopment of Railway Colonies and Railway Stations. RLDA is currently handling 84 railway colony redevelopment projects and has recently leased out a railway colony in Guwahati for redevelopment. Of the Indian Railways' land bank of approximately 43,000 hectares of vacant land across India, RLDA has over 92 Greenfield commercial sites across India for leasing and the eligible developers for each will be selected through an open and transparent bid process.

RLDA is currently working on redevelopment 62 railway stations in a phased manner while its subsidiary, IRSDC has taken up another 61 stations. In the first phase, RLDA has prioritized prominent stations like New Delhi, Tirupati, Dehradun, Nellore, and Puducherry for redevelopment. The railway stations across India will be redeveloped on a PPP Model as a part of Smart City Projects launched by the Government of India.