GMADA Clears Land Acquisition for Eco-City 3 with ₹3,690 Cr Compensation Award

GMADA awards ₹3,690 crore land compensation for 717 acres across nine villages, clearing the way for the Eco-City 3 township in New Chandigarh.

By
TRT Editorial
TRT Editorial is your early-morning voice for the latest headlines. With a sharp eye for current events and a passion for clarity, TRT Editorial delivers concise, engaging...
6 Mins Read

The Greater Mohali Area Development Authority (GMADA) has declared the selection of land compensation cases in relation to land taken over from nine villages in Mohali for its long-pending Eco-City 3 project in New Chandigarh. This is a significant move forward towards implementation of one of Punjab’s most ambitious planned developments. The proposed project entails taking over land of around 717 acres and would also be used for implementing residential, commercial, and institutional infrastructure on a massive scale and in an eco-sensitive location.

According to GMADA authorities, the amount of payout for the land that has been acquired stands at around ₹3,690 crores. These areas of land have been procured from nine villages, including Hoshiyarpur, Rasulpur, Takipur, Dhode Majra, Majra, Salamatpur, Kansala, Rajgarh, and Kartarpur. Each of these villages has a different rate of compensation for the land, depending on its valuation. This declaration of the award marks the end of the acquisition of land process, paving the way for the next phase of development.

Regarding compensation, the rates will be different for the various villages basing on the value of the land. Salamatpur is the place where landowners will get the highest rate of compensation of 6.46 crore per acre. The rate of compensation for Dhode Majra will be approximately Rs.6.4 crore per acre. The compensation in Rasulpur will be at around Rs.5.91 crore per acre.

But for Kartarpur, it will be Rs.5.43 crore per acre. Landowners in Kansala will get Rs.5.46 crore per acre. However, in Takipur, landowners will get around Rs.4.99 crore per acre. The rate of compensation will also be Rs.4.98 crore per acre for Hoshiyarpur. However, for Rajgarh and Majra, it will be Rs.4.27 crore per acre.

Nevertheless, monetary payment is not the only alternative that has been provided to those who have been impacted by the acquisition of their land. The acquisition of the land has been done in accordance with the Land Pooling Policy adopted in 2021, which provides the farmers and land owners with the alternative of either developed lands or a single payment in cash.

Based on the adopted policy, those who allocate one acre of their land receive 1,000 square yards of developed residential plots, in addition to 200 square yards of developed commercial plots, excluding parking space. Such alternatives have been preferred in the past owing to appreciation in value over time.

In further support, land owners choosing to pool can now also avail themselves of the revised land pooling scheme notified by the Punjab Government on November 21, 2025. For land owners, there is now an intensified incentive to participate with an additional offer for up to 1,600 square yards of developed plots on every acre of their land with its market price. This move is expected to facilitate smooth execution of the project.

Although the landowners will receive substantial monetary compensation, they are expected to mostly opt for the land pooling scheme. Landowners in previous projects have mostly opted for the land pooling scheme because of the long-term investments generated by the developed plots. Landowners will be given a timeframe to apply, after which the final decision will be taken, stated  a senior GMADA official.

The land acquisition procedure is almost over, and tenders for development work are likely to be floated in the first quarter of 2026, according to Sakshi Sawhney, the Chief Administrator of GMADA. The final launching of Eco-City 3 is likely to be initiated by the end of 2026, after the initial infrastructure development plan has been formulated. The Eco-City 3 plan was first conceptualized in 2016 and described as a large expansion of development plans for New Chandigarh, designed to provide sustainable and eco-friendly urban space and development infrastructure for modern inhabitants. 

Nevertheless, the development of Eco-City 3 experienced disruption in July 2020 because GMADA annulled the acquisition procedure because of budget constraints and poor reaction to its land pooling scheme at that point in time. The acquisition procedure for Eco-City 3 restarted again in August 2022, signifying strong focus by the governmen The formal announcement regarding the award of the land allocation in the region indicates that GMUDA has initiated a major move in reviving Eco-City 3, which would act as a major development route in the region. This would also revive the concept of NC’s major development apart from the Tricity.


Share This Article
Recommended Stories