Life Insurance Corporation of India (LIC) bought 3.6 acres of commercial land in the Old Courts area, near Lakkar Bridge, for Rs 228 crore at an auction held by the Greater Ludhiana Area Development Authority (GLADA) today. GLADA registered an increase of 31 per cent as against the reserve price of Rs 1 lakh per square yard, the bid went upto Rs 1.31 lakh.

Another 11,000 square yards, located on the road opposite the old courts, was sold at Rs 1.46 lakh per square yard as against the reserve price of Rs 75,000.

Six bidders participated in the auction including Aerens R Enterprises, Chadha Group of Companies, Malhotra Land Developers and Delhi-based Best Real Estate Company. GLADA Additional Commissioner Administrator S R Kler and Estate Officer Jeet Ram were also present at the auction.

“GLADA expected more returns from the sale, but the bidders were not much interested in the sites as they are located very close to the under-construction Lakkar bridge,” said a source.

The Tehbazari Branch of the Municipal Corporation, meanwhile, took the opportunity to conduct an anti-encroachment drive today. As the auction went on, rehris and stalls near the sites were removed. But MC authorities claimed that the drive was part of a routine exercise.