The Peripheral Ring Road (PRR) Phase I, rebranded in 2024 as the Bengaluru Business Corridor, is a 74 km, 10-lane, access-controlled expressway partially encircling the city. Planned to connect Tumakuru Road and Hosur Road, the project by Bengaluru Development Authority (BDA aims to ease Bengaluru’s traffic congestion but has been delayed for nearly two decades due to frequent changes in alignment and slow land acquisition.

In April 2007, the BDA issued a notification to acquire 1,810 acres across 67 villages for Phase I. By 2025, the roads new route was planned to pass through 77 villages. The project cost was estimated at Rs 5,800 crore in 2007, rose to Rs 9,000 crore in 2014, and is now projected at Rs 27,000 crore .The project area increased from 733 hectares to 1036.51 hectares due to change in length of the project from 65.5 km to 73.5 km. The project requires the acquisition of 1860 acres, impacting approximately 4,000 farmers.

The PRR Phase I corridor will pass through areas along Hesaraghatta, Doddaballapura, Bellary, Hennur, Old Madras, Hoskote, and Sarjapur Roads, effectively connecting Tumakuru and Hosur Roads. It is designed to link several major highways and state roads, including Tumakuru Road (NH-4), Hesaraghatta Road (SH-39), Doddaballapura Road (SH-9), Bellary Road (NH-7), Hennur–Bagalur Road (SH-104), Old Madras Road (NH-4), Hoskote–Anekal Road (SH-35), Sarjapur Road, and Hosur Road (NH-7).

Since years those who stand to lose their land have demanded that the compensation should be paid as per the current market value and by duly following the LARR Act, 2013. Some land owners, who were unable to either sell or build on their land for over 15 years due to the issue of notification, have demanded additional compensation. Many people affected by the project have boycotted the survey procedure, even though they are supposed to be present when government officials conduct surveys of their land. They believe the road construction will get delayed further and they are unlikely to receive any compensation in the near future.

The Karnataka Rajya Raitha Sangha organised several protests against the land acquisition and delay by blocking roads, demonstrating in front of the BDA office and submitting memorandums to political representatives, including Chief Minister B S Yeddyurappa. "We do not have faith in politicians and officers. This project will not be completed soon, and we will not get the compensation we deserve. We want our land back. My family has struggled without this land for so long; we could have sold it and used the money for our expenses," Gopal Reddy, a land owner, told LCW. "Due to multiple changes in the alignment, they (government) did not pay anybody (land owners). They could have paid all the farmers, they could have deposited the money in an escrow account in court, but they did not do that. The BDA is wholly and solely responsible for the project cost escalation," another affected person, who wishes to remain anonymous, told LCW. She added, "Even in the last protest held in February 2020, all the farmers were asking the BDA the compensation rate, but the officials are not clear themselves."

Some land owners even requested for a No Objection Certificate (NOC) from the BDA as they want to sell their land and not wait for the compensation and project completion. But special land acquisition officer N R Umesh Chandra told LCW that an NOC cannot be issued once a final notification to acquire the land has been issued. The earlier guidance value (minimum value below which no property transaction can take place) is low. We want to pay as per the 2019 guidance value. The final decision on when the amount will be paid will be taken by September end after a few meetings, he added. It was later decided that land losers will be paid according to the guidance value of 2019-2020. However, the decision is not final, and the state government is yet to give its nod on the matter.

In June 2024, the BDA’s third attempt to float a Rs 27,000-crore tender, where the BDA opted for the DBFOT model  for the Peripheral Ring Road project failed to attract any bids, following two similar failures in 2023. Thus on 5 September 2025, the State Cabinet decided to carry out the project itself, not through PPP.  In January 2025, the Bengaluru Development Authority (BDA) obtained HUDCO’s approval for a Rs 27,000 crore loan, allocating Rs 21,000 crore for land acquisition and Rs 6,000 crore for road construction.

In August 2025, eight committees, each led by a land acquisition officer, held consultations with affected landowners at 18 locations over two days. BDA has nearly finalised compensation for 18 villages, fixing it at three times the 2024-25 guidance value in rural areas (Rs 6.75 crore per acre in Varthur) and twice the value within BBMP limits (Rs 12.70 crore per acre in Hagaduru).

Dissatisfied with this proposal, the affected landowners submitted a legal representation to the BDA Commissioner, citing lapsed acquisition, lack of compensation, mental distress, and arbitrary reductions in guidance value. The letter lays out specific demands if the BDA and the Karnataka government intend to continue with the PRR or associated projects such as the Bengaluru Business Corridor. These include, issuing a fresh acquisition notification under the LARR Act, 2013 with full procedural compliance, providing compensation for economic and emotional harm caused by the delay, including affected landowners as equity stakeholders in upcoming commercial or township projects, drawing on models used in Delhi and Andhra Pradesh, and offering at least one government job per displaced family as part of a humane rehabilitation policy. However, progress remains stalled as compensation disputes continue, with the BDA proposing Transferable Development Rights (TDR) as an alternative, while protestors demand that land acquisition be put on hold until new notifications are issued.