The Government of Karnataka on April 09, 2026, issued the Draft Karnataka Municipalities (Estate Management) Rules, 2026, further to amend the Karnataka Municipalities (Estate Management) Rules, 2026.
The following has been stated:
• It states that Municipal properties not required for public use can be sold or leased, mainly through transparent public auction/e-procurement. Sales are generally at the guideline value, with concessions or free allotment for public infrastructure like water supply, hospitals, schools, etc.
• The rules also provide a detailed mechanism for disposal of leftover/bit land, prioritizing adjoining owners and fixing price based on guideline value or past sale rates. Leasing provisions include maximum tenure (up to 30 years), One-Time Deposit (OTD), rent fixation, and periodic increase.
• It further covers lease renewal, eviction of unauthorized occupants, reservation for SC/ST/PwD, and penalties. If auctions fail repeatedly, a committee can revise terms. Overall, the rules aim to ensure efficient use, transparency, and better revenue from municipal assets.
• Objections and suggestions may be addressed to the Secretary to the Government, Urban Development Department, Vikasa Soudha, Bengaluru – 560001, by May 09, 2026.
[Notification no. - UDD 22 GEL 2024(e)]
