Shares of Bengaluru-based real estate players Sobha and Brigade Enterprises plunged up to 5 per cent after reports of Karnataka government considering a five-year ban on construction of multi-storeyed residential buildings in view of an acute water crisis.

Sobha was trading 5.45 per cent down at Rs 515.55 around 10 am (IST) on BSE, while the BSE Sensex was up 29 points at 39,615. Brigade Enterprises was trading 2.18 per cent down at Rs 259 around the same time.

Deputy chief minister Dr. G Parameshwara on Thursday said that builders sell the apartments to families without assuring them of water availability, according to a report by PTI.

When the water sources go dry, apartment dwellers depend on tankers. But the water supplied through tankers, allegedly, causes water-borne and skin diseases, he added.

Due to water scarcity, there were deliberations on banning the construction of apartments in Bengaluru for the next five years, Parameshwara said.

The government would soon convene a meeting of all the builders and developers to seek their opinion on the issue to take a final call, he said.