Ownership Dispute Forces PUDA to Revoke Land-Use Clearance for 1.21 Acres in Mohali Industrial Park

The Punjab Urban Planning and Development Authority (PUDA) has reportedly withdrawn the Change-of-Land-Use (CLU) permission for 1.21 acres within a 56.53-acre industrial park project located in the villages of Drari and Dhurali in Mohali. According to reports, the decision was taken following a formal complaint that questioned the ownership and inclusion of the disputed parcel in the original project layout.

The CLU approvals had been granted across two phases in 2018 and 2019 under Punjab's Industrial Park Policy. The original approval reportedly covered the entire tract, including industrial plots, shop-cum-office (SCO) sites, parking areas, water-works facilities, and related infrastructure.

Land Ownership Verification Leads to Approval Revocation

As per available information, a complainant raised objections claiming that a 1.21-acre portion of the land belonged to them and had been illegitimately included in the developer's layout. The development highlights why property ownership verification remains crucial in large-scale real estate transactions.

Following hearings and thorough verification of land records, authorities reportedly confirmed the claimant's ownership over the disputed parcel. Consequently, PUDA revoked the CLU permission for that specific portion of the industrial park project.

Scope of the Affected Area

According to reports, the revocation affects a significant portion of the planned development. The affected area includes several industrial plots covering full plots 1 through 8, plots 12 through 16, plots 19 through 111, and partial plots 11 and 18. Additionally, all 88 SCO sites in Pocket-1, parking zones, retail shops, toilet blocks, and the reserved water-works plot have been impacted by this decision.

PUDA has reportedly instructed the developer to submit a revised layout plan that excludes the revoked portion. This revised plan must undergo fresh approval and public notification before any further development activity can proceed on the site. The case underscores the importance of understanding legal processes in property disputes for all stakeholders involved.

Impact on Industrial Park Development and Investors

The revocation reportedly throws the existing project's layout and overall scope into significant uncertainty. Industry observers suggest that investors, businesses, or tenants who had committed based on the original plan may now face uncertainty regarding plot allotment, connectivity arrangements, and project timelines.

The developer will reportedly need to rework the entire layout, potentially reducing the number of industrial plots, SCO sites, and associated infrastructure. This restructuring may also impact pricing structures, delivery timelines, and return on investment calculations for existing stakeholders. Those considering investing in plots should follow essential checklists to avoid similar situations.

The episode serves as a reminder of the risks inherent in industrial park developments and large-scale land projects. Industry experts emphasise that clear, verified land ownership records are critical before granting approvals, as even sanctioned projects can face significant disruptions mid-way through execution. As Chandigarh begins its urban land digitisation initiative, such measures could help prevent similar ownership disputes in the future.

Lessons for Real Estate Stakeholders

This development reinforces the necessity for comprehensive due diligence in property transactions, particularly for large-scale commercial and industrial projects. Punjab has recently taken steps towards modernising its property registration system, with the state launching mobile-based property registration to streamline transactions and improve transparency.

For investors exploring opportunities in Punjab's industrial capital, understanding the local real estate dynamics is essential. Ludhiana continues to offer strong investment opportunities for those seeking industrial and commercial real estate exposure in the region.

Disclaimer: This article is intended for informational purposes only. Readers are advised to conduct independent research and consult qualified legal and financial professionals before making any property investment decisions. The information presented here is based on publicly available reports and does not constitute investment advice.