Govt get shot in the arm as Omaxe returns prime land; planned IT-Biotech Park in Patiala scrapped after 19 years of allotment
Kanwar Inder Singh/ royalpatiala.in News/ October 9,2025
At a time when Punjab government is looking for vacant, unused land to generate revenue by selling it, real estate giant Omaxe Limited has returned 60 acres of prime land to the government- Patiala Development Authority on the Patiala-Sirhind Road, Patiala
Chief Administrator, Patiala Development Authority (PDA), Manisha Rana, informed that the PDA had undertaken the project for the development of an Integrated Township in 336.5 acres at Village Baran, Sirhind Road, Patiala, under the Public Private Partnership (PPP) mode by executing an agreement with M/s Omaxe Limited in the year 2006.
She stated that plots were sold in 2007 and 2009, and around 500 allottees have constructed their houses in the township. The developer was issued a termination notice in 2011 for not complying with the terms and conditions of the agreement. The matter had remained unresolved for nearly 13–14 years.
Adding further Rana said , keeping public interest in view, the Government of Punjab, in the meeting of the Council of Ministers, has accorded approval to grant a three-year extension to the developer for completion of the pending development works.
She further informed that the extension has been granted on specific terms and conditions, under which the developer has returned 60 acres of land to the Authority/Government. With this approval, Omaxe Limited will now take up all maintenance and development responsibilities in the township, thereby ensuring better services and amenities for residents.
The Chief Administrator stated that with this decision, the long-pending issue now stands resolved, and residents will greatly benefit from the completion and regular upkeep of the township.
At the time of launching, this integrated township on Patiala-Sirhind road in Patiala comprises of expandable villas, plots, commercial space, residential complex and an IT- Biotech Park. This 60 acres chunk of prime commercial land was handed over to the real estate company as a part of 336.5 acre project in 2006 to create 5,000 jobs in Information Technology (IT) and biotechnology sectors. But the company failed to fulfill the project’s demand.
After Omaxe expressed its inability to develop the ‘IT and bio-tech city’, in 2010 PDA had issued a default notice to the company. In June 2011 termination notice for the project was issued to Omaxe. Later people whose land was acquired for the IT City-Biotech project moved the Punjab and Haryana high court against the acquisition following which the court ordered that status quo be maintained.
In September 2015 Punjab chief secretary forms a six-member committee to negotiate with the company after the high court dismisses the petition as withdrawn in September 2013. That panel asked the real estate giant to return 60 acres in 2015.
Speculations are rife that now the government will sale / auction this 60 acre chunk of land at much higher prices than given to Omaxe in 2006.
As per sources now the Omaxe will construct the only pending project EWS Flats and hand over the same to PDA for further possession, sale.
