What you are taking on with a plot
Buying a plot rather than a built unit means accepting a longer and less certain path to being operational. For the right business that is clearly worth it; for one with an order book waiting, it is not.
- 1Acquire the plot and complete the authority transfer.
- 2Have the building designed within the permitted ground coverage and FAR.
- 3Get the plan sanctioned by the authority.
- 4Build, which is where most of the time and money goes.
- 5Obtain the power connection at the sanctioned load.
- 6Obtain completion and occupancy, plus any consents your activity requires.
- 7Commence production within whatever period the allotment conditions require.
Sizing the plot
- Ground coverage and FAR permitted, which decide how much you can actually build.
- Setbacks required on each side, which reduce the usable footprint.
- Space for truck movement and turning inside the plot, not just for the building.
- Room for the expansion you can foresee — land is cheaper now than adjacent land will be later.
- Parking for staff and visitors.
Before you commit
- Current allotment standing and any unmet conditions.
- All outstanding dues, which pass to you with the plot.
- Physical verification that boundaries on site match the record.
- Confirmed road access of adequate width.
- Power availability in the area at the load you need.
- Drainage and effluent arrangements for your process.
What makes one plot worth more than another
Two plots of the same size in the same sector can differ substantially in value, and the reasons are practical rather than speculative.
- Corner plots carry two open sides: better access, better light, usually a premium.
- Road width at the frontage decides what vehicles can reach you.
- Proximity to the sector entry affects daily logistics more than it looks on a map.
- Power infrastructure already nearby, versus a connection that must be built out.
- Whether neighbouring plots are operating — services and labour follow activity.
- The standing of the allotment: cleared dues and met conditions are worth paying for.
Costs beyond the land
Budgeting only for the plot is the most common mistake on a first industrial purchase. The land is frequently the smaller half of the total.
- Authority transfer charges on a resale allotment.
- Stamp duty and registration.
- Any outstanding lease rent or dues inherited with the plot.
- Plan sanction fees and professional fees for design.
- Construction, which usually exceeds the land cost.
- The power connection at your required load, including any infrastructure contribution.
- Boundary wall, internal roads, drainage and firefighting provision.
- The cost of carrying all of it until production starts.