If you are a landowner in Odisha, selling or purchasing a piece of land just became significantly easier, thanks to a landmark reform introduced by the Government of Odisha under the leadership of Chief Minister Shri Mohan Charan Majhi and Revenue Minister Shri Suresh Pujari. In what can be described as one of the most progressive and citizen-focused amendments in recent times, the Odisha government has notified new rules allowing part-sale of land parcels up to 500 square meters without the need for prior approval from development authorities.
This reform is particularly important for small and middle-income landowners, joint families, and rural citizens, many of whom often face long bureaucratic delays while conducting simple land transactions.
What Has the Odisha Government Amended?
The change comes through the Odisha Development Authorities (Planning & Building Standards) Second Amendment Rules, 2025, which amends the parent rules of 2020.
Under this amendment:
- Landowners can now sell portions of land measuring up to 500 square meters without requiring any prior layout or plot approval from Development Authorities.
- The rule also applies to land with multiple co-owners. So if a family owns a larger plot jointly, individual members can sell their 500 sqm share without going through complex approval procedures.
- However, such sold plots cannot be used for real estate development purposes like housing colonies, flats, or commercial complexes.
Why Is This a Game-Changer?
Until now, even selling a small fraction of your own land required:
- Seeking prior approval of planning authorities (which could take weeks or months),
- Submitting detailed plans and site reports,
- Engaging architects, legal professionals, and making multiple visits to urban planning offices.
This amendment removes all of that—at least for small-scale, non-commercial land transactions.
In practical terms, here’s what the new rule allows:
- You own a 1000 sqm plot.
- You want to sell 200 or 300 sqm of it to a buyer.
- You no longer need to wait for approval.
- You can execute the sale, subject to basic legal due diligence and land records being clear.
How to Sell or Buy Land Under the New Rule (Step-by-Step):
For Landowners:
- Verify ownership and mutation status in your name.
- Identify the portion (up to 500 sqm) you wish to sell.
- Prepare a sale deed through a licensed advocate or notary.
- Ensure land records are updated via Bhulekh (online land record portal).
- Visit the sub-registrar office to register the sale deed.
For Buyers:
- Ensure the land parcel being bought is under 500 sqm.
- Confirm that the land is not earmarked for real estate development.
- Conduct encumbrance and title verification.
- Proceed with sale deed registration and mutation in your name.
What Are the Restrictions?
The Odisha Government has made it clear that this policy is intended to benefit individual citizens and not to create a loophole for unregulated real estate activity.
- Any land sold under this exemption cannot be used to build flats, gated colonies, or commercial buildings.
- It is for personal or agricultural/residential use, not commercial plotting.
This ensures planning discipline is not compromised, while citizens still get relief from unnecessary red tape.
What Makes This Move Stand Out Nationally?
The amendment stands as a model of balanced governance. Unlike blanket liberalisation which can cause chaos in urban development, Odisha’s model:
- Simplifies procedures for genuine citizens,
- Maintains planning norms by restricting real estate misuse,
- Preserves local development authority oversight for larger projects,
- Ensures land rights and land ease-of-doing-business for individuals.
A Reform Rooted in Legal Process and Public Consultation
The government followed a full legal process before enforcing this amendment:
- The draft rules were published in the Odisha Gazette on 25th March 2025.
- The public was invited to file objections and suggestions.
- The feedback was duly reviewed by the Housing and Urban Development Department.
- After review, the rules were notified under Section 123 of the Odisha Development Authorities Act, 1982.
This showcases the Majhi Government’s commitment to transparency, legal compliance, and public participation.
Praise Where It Is Due
Chief Minister Shri Mohan Charan Majhi and Revenue Minister Suryabanshi Suraj must be commended for prioritising reforms that directly benefit the common citizen. This amendment reflects a deep understanding of rural and urban landholding realities and a commitment to make Odisha a state where governance serves, not hinders, the people.
In a state that has long struggled with slow approvals and bureaucratic hold-ups in land matters, this amendment is a bold administrative stroke, and an example of how land policy should be designed—simple, efficient, and just.
Caution: What Citizens Must Keep in Mind
While the rule opens new doors, citizens are advised:
- Not to violate zoning laws or build unauthorized structures on such plots.
- Not to subdivide and sell repeatedly to bypass urban planning rules.
- Always consult a licensed advocate or land expert before initiating any transaction.
Conclusion
The Odisha Government’s decision to allow part-sale of plots up to 500 sqm without approval is not just an administrative reform — it is a policy revolution that brings land governance closer to the people.
For landowners, buyers, legal professionals, and urban planners, this reform is a positive step rooted in logic, law, and people-centric governance.
Odisha has shown that with the right leadership, even complex land laws can be simplified — without compromising integrity or development planning.
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