Bombay High CourtProperty and Real Estate LawAdministrative and Public Law

Bombay HC Sets Wadghar Land Market Value At ₹1,725 Per Sq Metre For 1986 Acquisition, Rejects State Appeals

Avenue Hotels Private Ltdv.Mahanagar Gas Limited

Bombay HC Sets Wadghar Land Market Value At ₹1,725 Per Sq Metre For 1986 Acquisition, Rejects State Appeals. Avenue Hotels Private Ltd vs Mahanagar Gas Limited. Bombay High Court. LawLens
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In brief

The question

1. Whether the acquired lands in the present proceedings should be valued at ₹1,725 per square metre, consistently with the Court’s determination for lands in Village Wadghar acquired on the same date.

The court held

The Court fixed the market value of the acquired lands at ₹1,725 per square metre as of 24 September 1986 and directed recalculation of compensation, with statutory benefits and credit for amounts already paid or deposited.

It also directed

The parties were directed to file calculations before the concerned Reference Court within four weeks; that court must verify them and determine the balance compensation within three months of filing.

The State’s appeals were dismissed, the claimants’ cross-objections were allowed to the stated extent, the claimants’ appeals were allowed to the same extent, and the parties were directed to bear their own costs.

01Facts

These connected appeals and cross-objections concerned compensation for lands acquired at Village Wadghar, with the relevant valuation date being 24 September 1986.

p. 6

The State challenged enhanced compensation, while claimants sought higher compensation through cross-objections or appeals.

p. 6

The Court had previously determined the market value of lands acquired in the same village, as of the same date, at ₹1,725 per square metre in *The State of Maharashtra v. Shankar Laxman Ghatge (Deceased) through LRs and Others*, First Appeal No. 957 of 2026, decided on 13 October 2026.

p. 6

02Issues

i.1. Whether the acquired lands in the present proceedings should be valued at ₹1,725 per square metre, consistently with the Court’s determination for lands in Village Wadghar acquired on the same date.

p. 6

ii.2. Whether the State’s appeals and the claimants’ cross-objections and appeals should be allowed or dismissed in light of that valuation.

pp. 6–8

03Law Applied

Under the Land Acquisition Act, 1894, market value is to be determined as at the relevant date of acquisition by assessing the evidence and circumstances bearing on the acquired land’s value.

pp. 6–7

The Court applied its earlier determination of ₹1,725 per square metre for lands in Village Wadghar as of 24 September 1986, finding no distinguishing circumstance warranting a different rate in these proceedings.

pp. 6–7

The Court also directed that statutory benefits—including solatium, the additional amount and interest—be calculated in accordance with the applicable provisions of the Act.

p. 7

No specific statutory sections or further precedents were identified in the order.

04Reasoning

The lands in the present appeals were situated in the same village and were valued as of the same acquisition date as the lands considered in *Shankar Laxman Ghatge*.

p. 6

In that earlier decision, the Court had assessed factors including location, transport access, proximity to Panvel and industrial areas, and the lands’ agricultural character and level of development, and fixed the market value at ₹1,725 per square metre.

p. 6

As no distinguishing circumstance justified a different valuation here, the Court applied the same rate, rejected the State’s challenge to enhanced compensation, and allowed the claimants’ cross-objections to the stated extent.

pp. 6–8

05Holding

The Court fixed the market value of the acquired lands at ₹1,725 per square metre as of 24 September 1986 and directed recalculation of compensation, with statutory benefits and credit for amounts already paid or deposited.

p. 7

The parties were directed to file calculations before the concerned Reference Court within four weeks; that court must verify them and determine the balance compensation within three months of filing.

pp. 7–8

The State’s appeals were dismissed, the claimants’ cross-objections were allowed to the stated extent, the claimants’ appeals were allowed to the same extent, and the parties were directed to bear their own costs.

p. 8
Bombay High Court

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Avenue Hotels Private LtdvsMahanagar Gas Limited

Bombay High Court · November 05, 2026

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