03-19-2007, 04:52 AM
<b>India's Road to Riches Is Running Out of Land: Andy Mukherjee </b><!--QuoteBegin-->QUOTE<!--QuoteEBegin-->New Solutions
It may be possible to free large tracts of land in India without stoking large-scale resentment.
<b>Villages in coastal southern China earn millions of dollars in rental income from leasing out land to factories. Why can't Indian farmers, too, become industrial landlords? </b>
One strategy could be for the government to form a massive real-estate investment trust, to which all acquired land that is later developed by private capital for commercial use would be assigned. <b>Both the farmers and the developers would be allotted equity in the REIT, which would earn rental income from long- term leases to industrial and commercial tenants</b>.
Every farmer whose land has been taken would earn an income from his units in the REIT.
This may be just a wild, impractical idea. There may be better solutions. The challenge is to discover them before India's road to riches runs out of land.
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Lshrni,
Better solution by Andy.
It may be possible to free large tracts of land in India without stoking large-scale resentment.
<b>Villages in coastal southern China earn millions of dollars in rental income from leasing out land to factories. Why can't Indian farmers, too, become industrial landlords? </b>
One strategy could be for the government to form a massive real-estate investment trust, to which all acquired land that is later developed by private capital for commercial use would be assigned. <b>Both the farmers and the developers would be allotted equity in the REIT, which would earn rental income from long- term leases to industrial and commercial tenants</b>.
Every farmer whose land has been taken would earn an income from his units in the REIT.
This may be just a wild, impractical idea. There may be better solutions. The challenge is to discover them before India's road to riches runs out of land.
<!--QuoteEnd--><!--QuoteEEnd-->
Lshrni,
Better solution by Andy.