HMDA mortgages 10 plots to raise ₹10,000 crore for infrastructure works

The opposition claims that the lands that were mortgaged were assigned a total market value of around ₹12,818.63 crore. | Photo credit: SIDDHANT THAKUR

The Hyderabad Metropolitan Development Authority (HMDA) is raising ₹10,000 crore through loans for its infrastructure development projects by mortgaging several high-value plots across the city as collateral for the loan.

Lands totaling more than 817 acres from 10 locations have already been pledged for this purpose, from which more than ₹ 9,700 crore has already been raised through bonds/debentures.

The plots are located in prime locations like Izzat Nagar (about 26.5 acres) and Miyapur (105 acres) of Serilingampally mandal, Mokila (41 acres) of Shankarpally mandal, Isnapur (27.5 acres) and Patancheru (17.5 acres) of Patarnelaramalyudal town in 45ram, Patarnemarlyudal. Qutbullahpur, Injapur (22 acres) Hayatnagar, Chilkur (49 acres) and two different plots (449 acres and 35 acres) of Jawaharnagar village Kapra mandal.

The funds will be used, among others, for the construction of two greenfield radial roads, from the Raviryal exit of the Outer Ring Road to Amangal and from Shamshabad to Pargi. The construction of two elevated corridors on State Route 44 and State Highway 01 were other projects mentioned in the key information document for the bond issue. The total cost of the projects is pegged at ₹24,000 crore.

The opposition Bharat Rashtra Samithi raised a stink over the mortgage, questioning how land worth hundreds of crores of rupees was given as security for just ₹10,000 crore.

BRS spokesperson Manne Krishank shared the details of the land and urged the government to disclose details of the transactions, valuation of the land and the agreements under which it was promised.

BRS spokesperson Manne Krishank while sharing said that serious questions have been raised regarding the management of public property of Telangana. He demanded that Chief Minister Revanth Reddy explain the reported use of 817 acres of valuable government land as collateral to get around ₹10,000 crore.

Referring to documents available to him, Mr. Krishank said that the total market value of the land was assigned to about ₹12,818.63 crore. He urged the government to publish the valuation reports and explain how the figures were determined.

He also referred to information indicating that HMDA-related bank balances had increased from around ₹275 crore as on 31 March 2026 to around ₹10,000 crore as on 30 June 2026. He demanded that the government clarify the source of these funds and make public the agreements and valuation reports associated with the reported fundraising.

“Why should the public property of Telangana be attached without informing the people? What is the value of the land, how much has been collected against it and how will the funds be used? It is the responsibility of the Chief Minister to answer these questions,” Mr Krishank said.

HMDA Commissioner Sarfaraz Ahmed, while seeking his version, said that the lands were mortgaged as collateral for getting loans for infrastructure projects. The loans were raised through market quotation, strictly in accordance with the regulations of the Stock Exchange Board of India and the Reserve Bank of India, he said, adding that the security offered was 1.25 times the value of the bond.

The land was not valued based on government guidelines or registration market value, but on aggregate market value determined by real estate consultant Cushman & Wakefield, Mr. Ahmed said. The fair market value was pegged at ₹ 12,818.63 crores as on March 20, 2026, according to the document.

Published – 9 Oct 2026 20:59 IST