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Chandigarh Housing Board to Auction Sector 53 Land to Private Builders for Affordable Flats After 8 Years

May 04 2026

In a parallel development, the CHB is preparing to revive its long-delayed general housing scheme in Sector 53, nearly a decade after it was first proposed. _Read  Details




The Chandigarh Housing Board (CHB) is preparing to reintroduce its long-awaited general housing scheme in Sector 53, marking a major revival after nearly ten years of delays and revisions.

Sector 53 Housing Scheme: Key Highlights

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For the first time in the city, the Chandigarh Urban Planning Department has approved stilt-plus-six (S+6) residential buildings for this project. Earlier developments in Chandigarh were limited to stilt-plus-five floors, making this a significant policy shift aimed at increasing housing supply without expanding land use.

The project will be developed across two separate land parcels, each measuring around 4.5 acres. These plots will be auctioned to private developers, who will construct approximately 250 flats in each pocket. The units are expected to cater mainly to high-income buyers, with a focus on spacious three and four-bedroom configurations.

Higher FAR to Boost Density

Another major change is the increase in Floor Area Ratio (FAR), which has been doubled from 1.2 to 2.4. This move allows developers to build more floor space on the same land parcel, improving project feasibility while maximizing land utilization in a city where horizontal expansion is limited.

Auction Model and Private Participation

Instead of directly constructing the flats, CHB will adopt an auction-based development model. Private builders will bid for the land parcels in a transparent process, and the final pricing of flats will depend on factors such as collector rates and unit sizes decided by the developers.

This approach follows directions issued in October 2025 by UT Administrator Gulab Chand Kataria, who recommended dividing the 9-acre site into two pockets for efficient development.

Strong Demand Despite Rising Prices

The scheme has consistently seen strong buyer interest. A demand survey conducted in 2025 received 7,468 applications for just 372 flats, highlighting a significant supply-demand gap.

However, pricing remains a key concern. Earlier estimates indicate that:

  • Three-bedroom units could cost around ₹2.30 crore
  • Two-bedroom flats may reach ₹1.97 crore
  • EWS units are expected to be priced near ₹74 lakh

These figures reflect rising collector rates, which have been revised upward multiple times in recent years.

Project History and Delays

The Sector 53 housing project has faced multiple setbacks since it was first proposed in 2018. An earlier attempt failed due to high pricing, attracting only 178 applicants for 492 units. The plan was revived in 2023 but was temporarily put on hold before being reactivated again under new administrative leadership.

Additionally, a long-standing restriction dating back to 2003, which prevented CHB from selling land to private developers, had stalled progress. The board has now sought amendments to this clause, which are expected to clear the way for the upcoming auction.

What’s Next?

With approvals in place and policy hurdles nearing resolution, CHB is likely to proceed with the auction of the Sector 53 plots soon. Once completed, the project could become a landmark high-density housing development in Chandigarh, setting a precedent for future urban planning strategies in the city.


After years of delays and uncertainty, the Chandigarh Housing Board (CHB) is finally preparing to launch its long-pending General Housing Scheme in Sector-53 in the second week of September. This marks the board’s first housing offering in nearly a decade, with the last successful project rolled out back in 2016 in Sector-51.

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Project Highlights

  • Total Flats: 492 units across 8.98 acres

  • Buildings: Up to five storeys

  • Categories & Tentative Pricing (Post-April 1 Collector Rates):

    • HIG (3BHK): ~₹2.30 crore (↑ 39% from earlier ₹1.65 cr)

    • MIG (2BHK): ~₹1.97 crore (↑ 40.7% from earlier ₹1.40 cr)

    • EWS (2-room): ~₹74 lakh (↑ 34.3% from earlier ₹55 lakh)

Parking Facilities:

  • HIG flats – double-basement parking

  • MIG & EWS flats – single-basement parking

The steep prices are the result of the revised collector rates, which came into effect on April 1, 2025. Compared to earlier estimates, the costs have gone up by nearly 35%–40%, raising concerns about affordability.

Demand vs. Affordability

A demand survey conducted earlier this year revealed that despite the high prices, interest remains extremely strong. Over 7,400 applicants expressed their willingness to buy, with the majority opting for HIG flats. However, the jump in prices has created uncertainty for many families who had expected rates to remain closer to the earlier estimates of ₹1.65 crore for a 3-BHK, ₹1.40 crore for a 2-BHK, and ₹55 lakh for an EWS unit.

During the survey, applicants deposited between ₹5,000 and ₹10,000 each to confirm their interest. But now, even those who participated will need to submit fresh applications once the scheme formally launches.

Administrative Green Signal

The scheme had been stuck for years due to administrative indecision and repeated delays. In June this year, the UT Administrator gave CHB the go-ahead to move forward with the revised pricing. Environmental clearance has also been secured, with renewal fees already paid to the concerned department.

A Long Wait Ends

CHB’s last major housing project was in 2016, when it offered 200 two-bedroom flats in Sector-51 at a price of ₹69 lakh each. An earlier attempt to launch the Sector-53 scheme in 2018 had failed due to poor response, as prices at that time were also considered too high.

With this fresh push in 2025, the board is aiming to re-establish its role as a key housing provider in the city. The launch is being closely watched not only by applicants but also by the wider real estate community, as it may influence future housing trends in Chandigarh and the surrounding Tricity area.

What Lies Ahead

Once the Sector-53 scheme is launched, the CHB will also shift focus towards its upcoming mega project in Sector-54, where nearly 1,700 flats are planned on a 32-acre site. Design and planning for that project are expected to conclude within the next few months, signaling a new phase of housing development for Chandigarh.

Key Takeaways

  •  492 flats to be launched in Sector-53, across 9 acres.

  •  Prices up 34–41% after April 2025 collector rate revision.

  •  Demand survey: 7,468 applicants; 68% opted for HIG flats.

  •  Reapplication required — earlier deposits will not carry forward.

  • Past failed attempts: 2018 (poor response), 2023 (tenders cancelled).

  •  Final nod from UT Administrator Gulab Chand Kataria awaited.

  •  Future project: 1,700 flats planned in Sector-54.

About the Author
B Durga Prasad
SEO & Content Writer

B Durga Prasad is a skilled Digital Marketing SEO Specialist, Content Writer, and Canva Designer with 4 years of experience in creating high-quality informational content across multiple industries in India.

He has written content for sectors including Health, Real Estate, Government Schemes, Housing Projects, Vehicle Auctions, E-Auctions, Government Vehicle Sales, and Public Notices.

His expertise lies in transforming official notifications and complex information into easy-to-understand, reader-friendly articles optimized for search engines and Google Discover.

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