KARNATAKA INDUSTRIAL AREAS DEVELOPMENT BOARD

Karnataka Industrial Areas Development Board (KIADB) is a wholly owned infrastructure

agency of Government of Karnataka, set up under Karnataka Industrial Areas Development
Act of 1966.
This Board functions as per statutory provisions, rules and regulations enacted there under.
The Board comprises of senior government officers in their ex-officio capacities. The Board
of members meets regularly to take decisions and monitor the functions. KIADB holds pride
in being the first government organization in Karnataka to obtain ISO 9001 certification in
the year 1997.
Now the KIADB is following ISO 9001:2000 module covering its functions of Land
Acquisition, Development and Allotment functions in Bangalore Urban and Rural districts.
Aims and Objectives:
Promote
rapid
and orderly development of industries
in the
state.
Assist in implementation of policies of Government within the purview of KIAD Act.
Facilitate
in
establishing
infrastructure
projects.
Function on No Profit No Loss basis.
Functions:
Acquire land and form industrial areas in the state.

Provide basic infrastructure in the industrial areas.

Acquire land for single unit complex.

Acquire land for government agencies for their schemes and infrastructure projects.

Mandatory document list:

Provision/Permanent SSI Certificate issued by or P and C

Detailed project report comprising cash-flow performance projection profitability and

provision towards repayment of shed cost.

Approval from state level committee or Department of Electronics incase electronics

item based production.

Foreign collaboration agreement if any.

An undertaking that local persons SC/ST will give preference.

Certificate form competent authorities in case applicant belong to SC/ST Exserviceman techno craft.

Line diagram indicating machinery Layout Plan.

In case of P/S concern-P.S.Deed

In case of co-memorandum and articles of association.

PROCEDURES:
I. Procedure for allotment of land in Industrial areas
Application forms for the allotment of land may be obtained, on payment of Rs.250/- from
any of the following offices:
Address I
Executive Officer & Executive Member,
The Chief Executive Officer & Executive Member K.I.A.D.B., 14/3, 2nd Floor,
Rashtrothana Parishat Buildings, (Opp. RBI) Nrupathunga Road, Bengaluru-560001.
Address II
Committee chaired by the Deputy
The Joint Director, District Industries Centre, Dept. of Industries and Commerce, in the
concerned district head-quarters of the state.
Address III
Committee
(SLSWCC)
by the
All the Zonal
Offices ofchaired
K.I.A.D.B.
Prescribed application forms for allotment of land is available in the above offices. The
industries,
of Karnataka
applicationGovernment
seeking allotment
of land is to be submitted along with the following enclosures
to Board or at District Industries Centres. In case of allotment of land in Bengaluru District,
application may be submitted at the Head Office, Bengaluru.
(SHLCC) chaired by Honble Chief Minister,
A detailed project report.

Details of constitution of the proposed unit.

Certificate
issued
by Department
of Industries & application
AftertheProvisional
clearance ofRegistration
the proposed
project, by
the competent
Committee/Agency,
Commerce.
for allotment of land is to be filed at the Head Office of KIADB at Bengaluru (in case of
allotment of land in Bengaluru Urban, Bengaluru Rural and Ramanagaram Districts) or at the
Plan
showing
proposedupon
utilization
of land.
concerned
Zonal
officethe
depending
the location
of Industrial Areas.
For further details refer
Earnest Money Deposit of Rs.500/- per acre or any part thereof subject to a
maximum
of Rs.10,000/MODE OF
PAYMENT
OF COST OF LAND:
Approvals from statutory bodies/authorities such as SHLCC/SLSWCC/DLSWCC
as applicable.
Rural Districts,
Ramanagaram, Kolar,

Dakshina Kannada Districts.

On receipt of the total cost of land as above, allotment of land will be confirmed and

possession of the allotted land will be handed over. The land will be allotted on Lease-cumsale basis fixing the lease period of ten years. The lease will be converted into sale on
fulfilment of terms & conditions of the Lease-cum-sale agreement and as per Rules in force.

TIME SCHEDULE:
a. For taking possession of land

One month from the date of issue of

confirmatory letter of allotment.

b. For the execution of Lease-cum- Sale

Agreement

30 days from the date of receipt of

Possession Certificate.

c. For getting the Boards approval of

Building drawings

One month from the date of execution of

Lease Agreement.

d. For the completion of construction of

24 months form the date of taking
factory building, erection of machinery and
possession of land.
commencement of production
II. Procedure for approval of Building Plans of Industrial Units.

Building plans drawn as per regulations in Table-I by certified architects/engineers is

to be submitted in four copies to the concerned Development Officers at the respective
zonal offices.

Enclose a copy of lease-cum-sale agreement or sale deed as the case may be.

Pay Building plan fees as per Table-II in the form of Demand Draft/Bankers Cheque/
Pay Order.

Table-I : Building Schedule

A) ZONE-I- Industrial (General)
Size of the
Sl.No. Plot (in
sq.mtrs)

Set backs(M)

Ground
Coverage

FAR

Front

Rear and
ides

Up to 500

75 %

1.50

4.50

4.50

Above 500
up to 1000

60 %

1.25

4.50

4.50

Above 1000
up to 3000

50 %

1.00

6.00

6.00

Above 3000

45 %

1.00

10.00

8.00

B) Parking Norms for Industrial Buildings:

One Car parking of 2.50 m x5.50 m each shall be provided for every 100 sq. mtr of

floor area plus 1 lorry space measuring 3.5m x 7.5 m for every 1000 sq. mtr or part
thereof.

In case of High-Tech Industrial Zones, the industries shall compulsorily provide

basement/multistoried parking.

Table-II : Fee Structure

Enhanced rate approved
Sl.No. Plot Areain acres Bangalore (Rural/ Urban) Mysore &
Mangalore. Dist.

Other District

0 to 1

1,500=00

1 to 2

3,000=00

2 to 3

6,000=00

3 to 4

4 to 5

5 to 10

15,0000

10 to 20

30,000=00

20 and bove

50,000=00

50% of the fee prevailing in bmp/bda, i.e. at

rs.5/- per sq. mtr.

7,000=00
10,00000

III. Procedure to be followed for obtaining water supply connection.

A requisition indicating monthly requirement of water is to be made to concerned

Deputy Development Officer at respective service locations.

On receipt of the requisition, the allottees will be informed of the amount payable by
them towards Earnest Money Deposit and Road Cutting charges.

EMD payable will be calculated on the cost of estimated consumption of water for
three months.

After the payment of EMD & Road Cutting charges allottee has to execute an
agreement with board on a non-judicial stamp paper of Value of Rs. 100/- (as per
proforma provided).

On complying as above a work order will be issued to the allotee.

Allottee shall execute the work of drawing water line and procure certified water

meter for installation at their cost.

Charges of water are as following:

In industrial areas of Bangalore District: Rs. 25/- per kiloliters and wherever water is
sourced from Cauvery water supply scheme charges are at Rs. 70/- per kilo liters.

In industrial areas other than Bangalore District: Rs. 10/- per kiloliters

lV. Procedure For issue of Duplicate Possession Certificate.

A requisition to concerned Assistant Secretary at respective service locations by

allottee indicating the reason for request.

Copy of the complaint lodged with Police authorities in case of losing/theft etc.,

Copy of the public notification made if any.

An affidavit on non judicial stamp paper of the value of Rs. 100/- indemnifying board,
affirming the need of duplicate certificate and cause of losing the original.

An amount of Rs. 2,000/- is to be paid as fees.

On receipt of the above request will be complied.

V. Procedure For Endorsement/Amendments to Possession Certificate.

Subsequent to approval of change in constitution/name/transfer of allotment etc. such changes
are to be incorporated in Possession Certificate to complete the process. An amount of Rs.
2,000/- is levied for endorsement /amendment of Possession Certificate.
VI. Procedure for issue of NOC for obtaining Power Supply & payment of prorata
power charges.

End users need not seek No Objection Certificate for obtaining power supply from
KIADB as per the regulations of KERC.

Consequent to the amendments in power supply regulations by KPTCL, layout

developing authorities/ end users are required to provide infrastructure for power
distribution. Hence for the industrial areas where power distribution costing was not
included in the pricing, allotees are required to pay the prorata power charges.

Following are name of IAs where these charges are collected:

1. Bangarpet IA in Kolar Dist.

2. Chickballapur IA in Chickballapur Dist.
3. Kelkote IA in Chitradurga Dist.
4. Shivalli IA in Udupi Dist.
5. Belur IA & Tarihal IA in Dharwad Dist.
6. Shirwad IA in Uttara Kannada Dist.
7. Yadgir IA Yadgir Dist.
8. Kapnoor 2nd Stage in Gulbarga Dist.

Following is the procedures for payment of prorata power charges to board.

1. An application indicating the required quantity of power is to be made to concerned

Development Officer at respective service locations.
2. A copy of Possession Certificate is to be enclosed with application.
3. On receipt of the above prorata power charges will be calculated and informed to
allotee.
VII. Procedure for issue of NOC for Mortgage of Property.

A request from the allottee for issue of No Objection Certificate indicating name of
financial institution & address in whose favor the certificate is required.

In case of second mortgage/charge of the property the request should accompany the
clearance /acceptance letter from the institution holding first charge.

VIII. Procedure for acquisition of lands for Single Unit Complex (SUC):

Identification of the lands by the promoters for their proposed projects in tune with the
Govt. guidelines..

Approval of the projects by the competent authority State High Level Clearance

Committee (SHLCC) / State Level Single Window Clearance Committee ( SLSWCC)

Filing the application to KIADB along with the required documents and also the
details of the lands.

Promoters to obtain 70% consent from the land owners/farmers before initiating the
acquisition proceedings.

Promoters to execute an agreement with KIADB regarding schedule of the payment of

land cost.

Promoters to deposit 40% of the tentative land cost along with the Board Service
Charges before submission of draft preliminary notifications to the Govt.

Publication of Preliminary Notifications under Sec. 3(1), 1(3) and 28(1) of the KIAD
Act, 1966 in the Karnataka Gazette.

Issue of Notices to the land owners under Sec. 28(2) of the Act for filing the
objections, if any within 30 days from the date of serving of the notices.

Hearing of the objections and passing the orders under Sec.28(3) by the Special Land
Acquisition Officers.

Joint Measurement of the lands and preparation of the Draft Final Notification under
Sec. 28(4) of the KIAD Act, 1966.

Promoters to deposit balance 60% of the tentative land cost before submission of draft
final notification to the Govt.

After publication of the final notification, land vests with the Govt free from all
encumbrances under Sec. 28(5) of the Act.

Issue of Notices to the erstwhile land owners under Sec. 28(6) of the Act, to
surrender / deliver the possession of lands within 30 days from the date of serving the
notices.

If any person refuses or fails to hand over the possession of lands, the State Govt. may
take the possession of lands under Sec. 28(7) of the Act.

Transfer of lands to the KIADB under Sec. 28(8) of the Act.

Compensation payable to the lands acquired will be fixed by the Price Advisory
Committee under the Chairmanship of the Deputy Commissioners of the respective
districts through agreement under Sec. 29(2) of the Act.

If the erstwhile land owners are not agreeable for the agreement rates, awards will be

passed under Sec.11 of the Land Acquisition Act, 1894.

Payment of compensation to the erstwhile land owners.

Compensation for the Malkies & Structures existing on the lands acquired will be paid
as per the valuation made by the concerned Depts.

Promoters to remit the difference in cost of land, value of malkies & structures
together with the Board Service Charges.

Issue of allotment letter, possession certificate and execution of lease cum sale
agreement with the lease period of 10 years.

Promoters to implement the project within 24 months from the date of taking the
possession of land.

On implementation of the project and proper tilization of land, lease hold rights will be
converted into free hold rights.