At least 118 successful bidders in the Mysuru Development Authority’s recent online residential site auction have approached the authority to complete purchase formalities, even as developers, activists, and political leaders question unusually high bid amounts.
According to MDA officials, around 1,200 bidders had placed offers for nearly 200 sites auctioned since early August. Of these, 118 individuals have now approached the authority to proceed with documentation and payment, including the highest bidders for two high-value corner plots in Vijayanagar IV Stage, West Mysuru.
One bidder quoted ₹2 crore for a 745 sq. ft plot, while another bid ₹9 crore for a 4,133 sq. ft site. Both have since initiated the process to complete the sale. Buyers are also required to pay approximately 7% in stamp duty, pushing the final transaction values higher. For instance, the ₹9 crore bidder will need to pay an additional ₹63 lakh as stamp duty, while the ₹2 crore bidder must pay ₹14 lakh.
The unusually high bids have drawn attention from the real estate fraternity. Developers argue that the amounts quoted for smaller sites could have secured much larger plots in other premium localities. They warn that such inflated bids may distort pricing trends in Mysuru’s residential market.
D Srihari, Chairman of CREDAI’s Mysuru chapter, described the pricing as unreasonable and expressed concern that a lobby may be influencing the unusually high bids. He pointed out that comparable amounts could secure sites in Bengaluru and cautioned that such bidding practices could have long-term implications for Mysuru’s real estate growth.
Political voices have also questioned the valuations. BJP OBC Morcha state president R Raghu pointed out that the prevailing market rate in the area is about ₹7,000 per sq. ft, whereas bids crossed more than three times that level. “These are residential plots, not commercial ones. Such trends will make home ownership a distant dream for local residents,” he said.
MDA in-charge commissioner K.R. Rakshith confirmed that bidders are completing the formalities and that corner sites are likely to be sold at the quoted prices. He denied allegations of any lobby or malpractice in the auction process.
Rakshith clarified that out of the auctioned sites, about 45 with only single bidders have been rejected, in line with auction rules. He also underlined that the auction was conducted transparently through an online platform.
The guidance value of plots in Vijayanagar stands at approximately ₹3,000 per sq. ft. With recent bids far surpassing both guidance and prevailing market rates, stakeholders believe the development could push up expectations across Mysuru’s residential land market.
Analysts suggest that while competitive bidding may reflect demand for limited corner plots, inflated valuations risk pricing out genuine homebuyers. “If these rates become benchmarks, affordability will take a hit, and speculative trends could gain ground,” said a city-based property consultant.
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