BHUBANESWAR: The Bhubaneswar Development Authority (BDA) has started exploring external funding options for the New City project on the outskirts of the state capital, which will require investment of around `8,200 crore.
The project has been planned in Daspur and Gothapatana mouzas of the city on around 400 hectare land where government agencies have ownership of more than 95 per cent land parcels. BDA sources said as per their estimation, the proposed project will require investment of `8,179 crore of which `6,079 crore has been pegged for built-up space and another `2,100 crore for infrastructure.
While the agency will get fund support of `1,300 from the state government for implementation of the project, sources said around `1,000 crore may also be received from the Centre, if the Ministry of Housing and Urban Affairs (MoHUA) approves it. However, BDA would still fall short of about `6,000 crore and to address this challenge, the agency has started exploring alternative funding options for the ambitious project.
“This external funding will include about `4,000 crore private investment and another `2,000 external funding,” said a top official from the agency adding, they are already in touch with the Asian Development Bank (ADB) and other such lenders for the purpose. A two-member team from ADB even visited the project site on Thursday and held a detailed discussion on various aspects of the New City’s development, he said.
BDA vice-chairman N Thirumala Naik said, all possible options are being explored for funding of the project. “The preparation of the master plan for the project is also under process and it will be finalised soon,” he added.
The agency has proposed to take up the project in three phases. The total built-up area planned in the New City is 21.7 million sq ft, comprising 10.45 million sq ft residential area, 3.10 million sq ft office spaces, one million sq ft retail commerce, 2.40 million sq ft MICE facilities, 2.30 million sq ft industrial area and 2.35 million sq ft neighbourhood shopping area.
Designed to accommodate up to 15,000 housing units and 60,000 people, the project is expected to create more than one lakh direct and indirect job opportunities in the future.