Power to purchase or lease by agreement.

(1) Where any land is needed for the purpose of a housing scheme or for performing any other duties or functions of the Board, the Board may enter into an agreement with any person for the acquisition by purchase, lease or exchange of his right and interest in such land either wholly or in part, on payment of an amount proportionate to the loss or deprivation caused to the enjoyment of the land: Provided that the amount to be paid for the loss or deprivation caused shall not exceed the market value of the land prevailing on the first date of negotiation in respect of the transaction. (2) The Board may also request the State Government to take steps for the compulsory acquisition under the provisions of the Land Acquisition Act of any land or any interest therein required for the execution of a housing scheme or for performing any other duties or functions of the Board and such acquisition of any land or any interest therein shall be deemed to be acquisitioned for a public purpose within the meaning of the Land Acquisition Act.