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Ayodhya's land value soars: Circle rates hiked by 200%, highest near Ram Mandir
The circle rate of land in Ayodhya, where a Ram Temple was inaugurated in January 2024, has increased up to 200 per cent, depending on the use of land and location. The increase in rates has taken place first time after nearly eight years, the
While the increase in rates was effective from 7 June, Saturday – a holiday but the registration of land accroding to new rates will begin from today, 9 June – when the offices open for normal work in the temple town.
'We have approved the proposal for a hike in circle rate after considering the objections we had received on our proposal circulated in August last year,' District Magistrate, Ayodhya, Nikhil Funde was quoted as saying by the The Indian Express.
Circle rate is the minimum price set by the government for property transactions in a particular area. These prices are used to determine stamp duty and registration fees, ensuring property transactions are not undervalued and that tax evasion is prevented. While the increase in rates was effective from Saturday – a holiday but the registration of land accroding to new rates will begin from today, 9 June – when the offices open for normal work in the temple town.
The circle rates are determined by local administration and vary based on factors like location, property type, and infrastructure development.
The circle rates in Ayodhya have not been increased for the past seven years despite a surge in land transactions and the rising market value of land ever since the 2019 ruling of the Supreme Court that paved way for the construction of the Ram Mandir in the Uttar Pradesh town.
Ayodhya is undergoing an unprecedented transformation, driven by a substantial $6 billion investment in infrastructure, due to the inauguration of the Ram Mandir in 2024. This development has sparked a significant upswing in the real estate sector within the temple town, resulting in soaring property prices.
Areas near the Ram Mandir where the market rate of land has increased manifold since the Supreme Court's Ram Mandir verdict have seen steepest hike in the circle rates.
The highest hike of 200 per cent has been in villages like Tihura Manjha where the circle rate for 'agriculture' land since August 2017 ranged from ₹ 11 lakh to ₹ 23 lakh per hectare, The Indian Express the revised circle rate in effect from Monday, it has gone up to ₹ 33 lakh and ₹ 69 lakh per hectare.
At Tihura Manjha village, actor Amitabh Bachchan had signed an agreement for two plots last year.
We have approved the proposal for a hike in circle rate after considering the objections we had received on our proposal circulated in August last year.
Each district's Collector can revise land values each year in August, according to a 2015 amendment to the Uttar Pradesh Stamp Act (originally passed in 1997).
The revision takes into account land usage, irrigation availability, proximity to roads, markets, transport hubs, factories, schools, hospitals, government offices, and whether the land is in an urban, semi-urban, or rural area.
Ayodhya is among 54 districts of Uttar Pradesh where the circle rate was last revised in 2017, the report said. In 21 districts, the rates were revised in 2023.
