Service Guide · Telangana · Conversion

NALA Conversion in Telangana: Before You Build on Farmland

Agricultural land is for agriculture until the state says otherwise. NALA conversion is how it says otherwise, and under Bhu Bharati the process runs integrated with the land record. Skip it and build anyway, and you invite penalties, demolition notices and unfinanceable property.

Quick Reference
ServiceAgri to non-agri conversion
LawNALA (Non-Agricultural Land Assessment)
Runs viaBhu Bharati (integrated)
AuthorityTahsildar / RDO
Fee basisPercentage of the land's value
OutputConversion proceedings / order
BeforeAny construction or layout
Bottom lineConversion first, construction second. The reverse is the expensive order.
1

What NALA conversion means in Telangana

Definition

NALA conversion is the statutory change of land use from agricultural to non-agricultural under Telangana's Non-Agricultural Land Assessment framework. Applications run through Bhu Bharati, the fee is assessed on the land's value, and the output is a conversion order that changes the record's classification.

The classification on your Pahani is not a description, it is a permission. Wet or dry agricultural land is permitted agriculture; houses, plots, sheds and commercial use on it need the classification changed first, and the conversion order is what changes it.

Integration into Bhu Bharati tightened the loop: the application, the record and the resulting classification now live in one system, which is faster, and also why parcels mid-conversion sometimes show "no records found" while modules sync.

Conversion is parcel-specific and purpose-relevant. Converting one survey number does not bless the neighbouring one, and layouts, buildings and commercial uses each meet further planning permissions after NALA, not instead of it.

State-specific note: NALA changes land use. It does not replace HMDA, DTCP or municipal building permissions, which come after conversion for layouts and construction.
2

How to apply for NALA conversion on Bhu Bharati

A documented parcel converts smoothly; a disputed or restricted one does not convert at all.

Application method

1
Confirm the parcel qualifies
Clean record, no 22A listing, no assigned-land restrictions, identifiers verified.
Restricted land does not convert by application.
2
Apply through the portal
File the NALA application on Bhu Bharati with the passbook, record and parcel sketch.
Accuracy of extent and survey details matters.
3
Pay the assessed fee
The conversion fee runs as a percentage of the land's value; pay against the demand.
Keep the challan with the application number.
4
Receive orders and verify
The Tahsildar or RDO passes conversion proceedings; confirm the record's classification updated.
The updated record is the real deliverable.
3

What changes after NALA conversion

The order ripples through everything downstream.

Aspect Before (agricultural) After (converted)
Permitted useAgricultureResidential / commercial per order
Record classificationWet / dryNon-agricultural
Registration pathAgri flow via Bhu BharatiNon-agri flow via IGRS
Bank lendingFarm-loan frameworksPlot and construction finance
Next approvalsNot applicableHMDA / DTCP / municipal permissions
Market value basisPer-acre ratesPer square yard rates
Good sign: A conversion order in hand, the Pahani's classification reading non-agricultural, and the fee challan filed with the application number.
4

Common NALA conversion issues, and the fix

Conversion trouble follows four patterns, three of them self-inflicted.

Built first, converting later
Construction on unconverted farmland draws penalty and regularisation pain.
Fix: stop works, seek conversion and regularisation; expect cost and delay.
Record vanishes mid-conversion
Modules syncing during NALA can blank searches temporarily.
Fix: wait for sync, search by LPM, and confirm at the MRO if prolonged.
Fee assessment disputed
The value base for the percentage looks wrong.
Fix: verify against the government value for the survey number and contest with evidence.
Restricted land refused
Assigned, endowment or 22A-listed parcels do not convert.
Fix: there is no application cure; the restriction itself must be lawfully resolved first.
5

Why to check NALA conversion before the price

A plot pitched for building is worth its price only if it can legally be built on.

The oldest markup in the market
Unconverted agricultural land priced as plots is the oldest markup in the market, with the buyer inheriting the conversion cost, timeline and risk.
🔍
Ask for the conversion order
Ask one question early: is there a conversion order for this exact survey number?
📋
Verify on the live record, not the brochure
Then verify the classification on the live record rather than trusting the brochure.
Red flag: A venture selling "plots" on land whose Pahani still reads agricultural, with conversion promised after booking, is selling you their regulatory homework. The discount is not a discount.
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Frequently asked questions

What is NALA conversion?
The statutory change of Telangana land from agricultural to non-agricultural use, applied through Bhu Bharati, with a fee assessed on the land's value and a conversion order as output.
Can I build a house on agricultural land?
Not lawfully before conversion. Construction on unconverted farmland invites penalties and blocks bank finance and clean resale.
How much does conversion cost?
A percentage of the land's value under the NALA framework. Verify the assessment against the government value for your survey number.
How long does it take?
Documented, unrestricted parcels move in weeks through the integrated flow. Disputes, restrictions and thin documents stretch it.
Does NALA replace HMDA or DTCP approval?
No. Conversion changes land use; layouts and buildings then need their own planning permissions on top.
My land disappeared from search during NALA?
A known sync effect between modules mid-conversion. Search by LPM, allow a few days, and confirm at the MRO if it persists.

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