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Gorakhpur GDA's Unpopular Properties: Despite 25% Discount, Sale Remains Difficult, Poor Condition a Major Challenge

  • by- Grihik
  • Mar 25, 2026
The Gorakhpur Development Authority recorded a record income of ₹543 crore this fiscal year, but selling nearly 100 unpopular commercial and residential properties remains a daunting task, even after the state government approved a 25% discount.
Gorakhpur GDA's Unpopular Properties: Despite 25% Discount, Sale Remains Difficult, Poor Condition a Major Challenge

Gorakhpur, March 25: The Gorakhpur Development Authority (GDA) has set a new record by generating ₹543 crore in revenue during the current financial year. However, the sale of nearly 100 unpopular properties continues to pose a significant challenge for the authority.

The state government has approved a discount of up to 25 per cent on these properties in an effort to attract buyers. Yet, selling these assets—many of which have remained vacant for years and have fallen into disrepair—is not expected to be an easy task. Adding to the complexity, the discount will apply to rates that have been steadily inflated over the years.

Discount Process Underway

Following cabinet approval, development authorities and housing boards across the state have begun the process of revising rates for unpopular properties. GDA is currently in the process of determining the new rates for its own assets. Once approved by the board, registrations will commence on a "first come, first served" basis, along with auction options.

The majority of GDA's unpopular properties are commercial assets. These include shops, office blocks, and food courts in various schemes that have remained unoccupied for years.

Residential Properties Find Alternative Use

Among the unpopular properties, approximately 30 flats in the Vasundhara Residential Scheme and Lohia Enclave in the Ramgarh Tal area were initially included. However, with the commencement of construction for the Integrated Divisional Office at the Nalkup Department complex, officials and employees residing in homes within that complex have been shifted to these vacant flats. The offices are being relocated to the GDA Tower.

As a result, only about eight to ten residential properties now remain on the unpopular list.

Key Commercial Properties Await Buyers

Several high-profile commercial properties continue to wait for buyers despite years of being on the market.

The GDA Tower located in Golghar remains a prominent example. This multi-storey building houses shops, a food court, restaurants, and office blocks that have remained vacant for years. Office spaces on three floors have yet to be allocated.

Other properties that have been waiting for buyers include:

  • Buddha Mini Mart on the Deoria Bypass

  • Shopping centers in Buddha Vihar Part A and B

  • Shops and plots in Vaishali Residential Scheme, Raptinagar (various phases), Siddharthpuram Shopping Center, Vikas Nagar, and Navin Transport Nagar

Many of these properties have been lying vacant for over a decade.

Rising Prices and Deteriorating Condition: Key Barriers

Experts believe the primary obstacles to selling these properties are their deteriorating physical condition and the continuous escalation of prices over the years.

Despite the lack of maintenance and poor condition of many assets, GDA has consistently increased prices every year on April 1. Currently, residential properties see an annual increase of 10 per cent, while commercial properties face a 12 per cent annual hike. In previous years, these rates were even higher.

The result is a significant mismatch between market expectations and the official pricing. Shops that were initially launched at ₹4 to ₹5 lakh now carry price tags of ₹25 to ₹30 lakh. The widening gap between the deteriorating condition of the properties and their inflated prices has pushed potential buyers away.

Hope Amid Challenges

GDA officials remain hopeful that the price reduction will attract some buyers and bring momentum to the stalled sales. Bringing these vacant properties into use would also increase the authority's revenue stream.

However, experts caution that merely reducing prices will not solve the problem. Without proper repair and maintenance, development of basic infrastructure, and a credible marketing strategy, turning these unpopular properties into desirable assets remains a formidable challenge for the Gorakhpur Development Authority.