In a move that is bound to affect the real estate scenario in Uttarakhand, the state government today decided to further curtail sale of land to outsiders. Already, in anticipation of proposed changes in land laws to be brought in by the new BJP government, the roaring real estate sector has witnessed a slump in the last two months.

The Uttarakhand Cabinet, in a meeting chaired by Chief Minister B C Khanduri here today, decided to tighten land laws by reducing the area which can be bought by outsiders from the existing 500 sq metres to only 250 sq metres.

Explaining the decision, Chief Secretary S K Das said the decision has been taken to check outsiders, particularly the land mafia, from misusing land laws and to save agricultural land.

Soon after the formation of the state, Uttarakhand witnessed a construction boom. There was a phenomenal increase in the number of registries particularly in the districts of Dehradun, Haridwar, Udham Singh Nagar and Nainital over the last three years.

However, once the BJP-led government took over and Diwakar Bhatt, the Revenue Minister belonging to the Uttarakhand Kranti Dal (UKD), a regional outfit, announced tighter land laws, registration of sale deeds and land prices both witnessed a downward spiral.

Earlier, a law introduced by the previous Congress government had barred outsiders from buying more than 500 sq metres of agricultural land in the state.

However, strong protests from Dehradun, Haridwar and Udham Singh Nagar districts, which comprise the plain areas, forced the state government to dilute the law by excluding urban areas from its ambit.