GMADA Awards ₹3,690 Crore for Eco City-3 Land Acquisition

The Greater Mohali Area Development Authority (GMADA) has acquired 716 acres of land from nine villages for the Eco-City-3 project of New Chandigarh. The Land Acquisition Collector of GMADA announced the award of compensation, thereby clearing the way for taking possession of the land from the owners under Section 19 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.

According to GMADA authorities, the amount of payout for the land that has been acquired stands at around ₹3,690 crores. Compensation ranges from Rs 4 crore to Rs 6 crore per acre. Compensation of Rs 5.91 crore per acre has been awarded to landowners in Rasulpur, Rs 6.46 crore per acre to Salamatpur, Rs 6.40 crore per acre to Dhodemajra, Rs 4.99 crore per acre to Takipur, Rs 4.27 crore per acre to Rajgarh, Rs 5.43 crore per acre to Kartarpur, Rs 4.27 crore per acre to Majra, Rs 5.46 crore per acre to Kansala and Rs 4.98 crore per acre to Hoshiarpur.

GMADA has determined the value of the acquired land on the basis of the average sale registrations recorded in these villages over the past three years. This transparent valuation method reflects current market realities in the Mohali micro-market and reinforces investor confidence in New Chandigarh's growth trajectory.

Landowners will also have the option to opt for land pooling. Under the land-pooling policy, farmers can avail 1,000 square yards of residential space and 200 square yards of commercial space per acre of acquired land. This flexibility allows landowners to participate in the township's long-term appreciation rather than accepting a one-time cash settlement.

The land acquisition procedure is almost over, and tenders for development work are likely to be floated in the first quarter of 2026. 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 implemented. Eco City 3 heading towards a late-2026 launch and Eco City 4 land already under acquisition means early investors continue to enjoy a genuine first-mover advantage within this fast-appreciating pocket of the Punjab real estate market.

The compensation award carries wider significance for New Chandigarh's real estate market. New Chandigarh, previously known as Mullanpur, has transformed into one of the best areas to invest in real estate in northern India. With an impressive 70.5% property value appreciation recently and average prices hitting ₹7,200 per square foot, it's no wonder investors are flocking here. Eco City-3, as a government-backed 716-acre township, positions itself in line with successful earlier phases: By early 2026, resale offers in comparable sectors reached ₹90,000+/sq yd - yielding ~60% appreciation in under 3 years. This reflects early-entry advantage, a pattern observed across emerging sectors.