Quick answer
To use agricultural land for a data centre in India, you must convert it to non-agricultural or industrial use under state law. This involves a change-of-land-use application, fees, local planning approval and sometimes a state-level clearance. Timelines vary by state, so plan for several months.
Key takeaways
- Rules differ by state
- Some states fast-track data centre projects
- Conversion risk should be priced into the deal
How conversion works
The landowner or buyer applies to the revenue or planning authority, pays conversion charges, and receives an order changing permitted land use.
Reducing risk
Make the sale conditional on conversion, or buy through an option agreement that completes once approvals are in place.
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