A proposal in this regard is at an advance stage of consideration at the Ministry of Urban Development (UD), sources said.
The 240 acres of land belonging to Central Public Works Department (CPWD), which functions under the UD ministry, has been lying vacant at Ghitorni since 1971.
According to sources, the project, estimated to cost over Rs 15,000 crore, is proposed to be jointly developed by CPWD and state-run construction firm NBCC on self-financing basis with no cost to the government.
On the other hand, NBCC would construct about 500 houses and develop substantial office and commercial space for sale to mobilise resources for financing the project.
The proposed 'mini city' would be equipped with urban infrastructure, green sustainable technology and smart solutions as per the Smart City norms, sources said.
It will also have water and waste management with dual piping system, rain water harvesting system, solar energy and smart metering, security/surveillance system, Wi-fi, among others.
Ghitorni is located in southern Delhi near Gurgaon border.
Urban Development Secretary Rajiv Gauba today held discussions with senior officials of CPWD and NBCC regarding the project.
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