HMDA Commissioner Sarfaraz Ahmed said the lands were mortgaged as security for obtaining loans for infrastructural projects.
| Photo Credit: NAGARA GOPAL
The Hyderabad Metropolitan Development Authority (HMDA) is raising ₹10,000 crore funds through loans for its infrastructural development projects by mortgaging several parcels of high value lands across the city as security for the loan.
Land with aggregated extent of over 817 acres from 10 locations has been already mortgaged for this, from which over ₹9,700 crore has already been raised through bonds/debentures.
The parcels are in prime locations such as Izzat Nagar (about 26.5 acres) and Miyapur (105 acres) from Serilingampally mandal, Mokila (41 acres) from Shankarpally mandal, Isnapur (27.5 acres) and Patancheru (17.5 acres) of Patancheru mandal, Gajularamaram (nearly 45 acres) in Qutbullahpur, Injapur (22 acres) of Hayatnagar, Chilkur (49 acres), and two different land parcels (449 acres & 35 acres) from Jawaharnagar village of Kapra mandal.
The funds will be used, among others, for construction of two greenfield radial roads, respectively from Raviryal exit of the Outer Ring Road to Amangal, and from Shamshabad to Pargi. Construction of two elevated corridors respectively on National Highway 44, and State Highway 01 were other projects mentioned in the Key Information Document for bond issue. Total cost of the projects is pegged at ₹24,000 crore.
Opposition party Bharat Rashtra Samithi has raised a stink about the mortgage and questioned how lands worth hundreds of crores of rupees were handed over as security for mere ₹10,000 crore.
Sharing the details of the lands, BRS spokesperson Manne Krishank called on the government to disclose details of the transactions, the valuation of the land, and the agreements under which it was pledged.
BRS spokesperson Manne Krishank, while sharing alleged that serious questions had arisen over the handling of Telangana’s public assets. He demanded that Chief Minister Revanth Reddy explain the reported use of 817 acres of valuable government land as security for raising approximately ₹10,000 crore.
Mr. Krishank, citing documents available to him, said the parcels had been assigned an aggregate market value of approximately ₹12,818.63 crore. He urged the government to release the valuation reports and explain how the figures were determined.
He also referred to information indicating that HMDA-related bank balances had risen from approximately ₹275 crore as of 31 March 2026 to around ₹10,000 crore as of June 30, 2026. He demanded that the government clarify the source of these funds and publish the agreements and valuation reports connected with the reported fundraising.
“Why should Telangana’s public assets be pledged without the people being informed? What is the value of the land, how much has been raised against it, and how will the funds be used? The Chief Minister has a responsibility to answer these questions,” Mr. Krishank said.
HMDA Commissioner Sarfaraz Ahmed, when sought his version, said the lands were mortgaged as security for obtaining loans for infrastructural projects. The loans were raised through market listing, strictly following the regulations of Securities Exchange Board of India, and Reserve Bank of India he said, adding that the security offered was 1.25 times more than the bond value.
The land was not valued based on the government guideline values or registration market value, but on the aggregate fair market value determined by a property consultant Cushman & Wakefield, Mr. Ahmed said. The fair market value was fixed at ₹12,818.63 crores as on March 20, 2026 as per the document.
Published – October 09, 2026 08:59 pm IST
