The Andhra Pradesh Government has cancelled the allotment of 24 acres to real estate major DLF Building India by the Hyderabad Municipal Development Authority.
The State Department of Municipal Administration and Urban Development late on Saturday cancelled the lease agreement entered into by DLF Buildings India Pvt Ltd and the Hyderabad Municipal Development Authority by issuing a Government Order.
The 24-acre site was allocated to DLF located at Moosapet village in the busy Kukatpally area abutting the Hyderabad-Mumbai Highway.
The Government justified the cancellation as the company failed to develop the integrated agricultural hub and also for failure to pay the market rent as per the agreement. Though DLF was granted the lease, DLF SBPL Developers Ltd had entered into the agreement citing that they represented DLF.
The Government, through the urban development authority, had taken possession of the land and recommended that the lease pact be cancelled.
In regard to the same project, DLF had filed a complaint against a local real estate developer for wrongfully claiming to be their representative and entering into an agreement with the State. A separate investigation is now under way in the case.