Blog
Tag: <span>gurgaon property</span>
Affordable plotted housing scheme suspended in Gurugram & Faridabad over high land cost
More than six years on, chief minister Manohar Lal Khattar ordered the suspension of the scheme in the two neighbouring cities, during a recent meeting with senior officials of the department of town and country planning (DTCP).
GURUGRAM: The state government has put on hold its ambitious affordable plotted housing scheme — Deen Dayal Jan Awas Yojna (DDJAY) — in Gurgaon and Faridabad, citing high cost of land and its failure to benefit the lower- and middle- income families, TOI has learnt.
Prime Minister Narendra Modi launched DDJAY in the state in November 2016, with an aim to put a check on the development of unauthorised colonies apart from providing affordable housing units to the lower- and middle-income families.
More than six years on, chief minister Manohar Lal Khattar ordered the suspension of the scheme in the two neighbouring cities, during a recent meeting with senior officials of the department of town and country planning (DTCP).
In the meeting, sources said, Khattar expressed his concern over the high prices of these affordable units in Gurgaon and Faridabad. He told the officials concerned that the key objective of the policy was to provide affordable homes to the people but the high cost of land in these cities had defeated the entire purpose of DDJAY.
According to DTCP data, around 60 licences were issued under DDJAY in Gurgaon and adjoining areas for developing housing units across 600 acres of land and around 40 licences for 400 acres of land in Faridabad since the launch of the scheme. Around 60 licences are currently under process in these two cities for the same scheme.
Confirming the development, a senior official of DTCP said that due to the high cost of land in Gurgaon and Faridabad, the affordable plotted housing scheme “has turned unaffordable for the homebuyers of the said segment”. “So, the scheme has been put on hold in the two cities.”
A city-based real estate expert said that apart from the cost of land, another loophole in the policy is the absence of a cap on the rates unlike highrise affordable projects, where the per square feet rate is fixed by the state government.
Even the developers are helpless as they purchase the land at high cost and so the project is sold at higher cost keeping margins,” he said.
Developers also said that the affordable plotted housing scheme in Gurgaon and Faridabad is unsuccessful due to the high cost of land. “DDJAY is more beneficial for realtors as the profit margins are high as compared to highrise affordable housing projects,” said a developer.
“Also highrise projects require construction cost, which is not the case in the plotted housing scheme. But then the plots are costing in crores unlike the fixed price of affordable flats which are under Rs 26 lakh, thus making them unaffordable for the common man.”
In August last year, the state government, in order to promote the scheme, announced that the developers who had launched projects under DDJAY would no longer be required to freeze 50% of the plots. They would just require to mortgage only 10% of the project land to the DTCP as security for external or internal development charges.
Licences of Three Affordable Housing Projects Suspended in Gurugram
The licences were granted to Ocean Seven Buildtech Pvt Ltd in 2016, 2018 and 201 2018 and 2019 to develop Expressway Towers in Sector 109, Golf Heights in Sector 109, Golf Heights in Sector 69 and The Venetian in Sector 70, respectively.
“GURUGRAM: The department of town and country planning (DTCP) has suspended the licences of three affordable housing projects in the city for the developer’s failure to comply with their terms and conditions.
The licences were granted to Ocean Seven Buildtech Pvt Ltd in 2016, 2018 and 2019 to develop Expressway Towers in Sector 109, Golf Heights in Sector 69 and The Venetian in Sector 70, respectively. However, the developer has failed to deliver the projects to date, triggering vehement protests from the allottees.
DTCP officials have been asked to find out other assets of the developer, while deliberating upon the modalities for the completion of the stalled projects.
In the order, TL Satyaprakash, director general of the town and country planning department, said that the developer has made grave violations of Act No 8 of 1975 and Rules thereof and numerous complaints of the allottees against the developer for the delay of the project through different forums have been received.
“Keeping in view, the interest of the public, grave violations made by you in making compliance of terms and conditions of licence and the project being Affordable Group Housing Colony targeting the housing stock generation for low and middle income groups, the licences granted to your company… are hereby suspended.
“The homebuyers have been raising numerous complaints against the developer for delay in completion of the project.
According to a senior official of DTCP, the licence for Expressway Towers expired in May 2021 and there are outstanding dues of Rs. 13.99 crore on account of external development charges (EDC).
Sanjeev Mann, senior town planner, said, \”Sufficient time was given to the developer to share the schedule for the completion of the projects but there was no clear response from them. Despite repeated directions to clear the outstanding dues and apply for the renewal of license, the developer has not acted.
“On Friday, the homebuyers of Expressway Towers filed a police complaint against the developer and demanded the seizure of passports of the directors and OSB officials, who are allegedly involved in frauds. They have also met the H-Rera member to expedite the proceedings against the developer.
“We were promised possession of our flats in 2021 but to date, only 60% work has been completed. For the past two years, we have been running from pillar to post for the completion of the project as most of us have already paid the 100% of the flat cost,\” said a homebuyer.
A spokesperson for OSB said, “The order was passed against the company without giving us a chance of hearing. We’ll file an appeal against the order with competent authority. We have already applied for renewal of licence. The company is committed to completing the projects.
Read more at:
https://realty.economictimes.indiatimes.com/
https://realty.economictimes.indiatimes.com/
With the second wave negatively impacting the economic recovery, real estate experts believe the sector needs continued support from the government.
Realtors in Delhi have demanded an extension of lower circle rates, or floor prices, by a fifth in the national capital and rollback of proposed increases by up to 90% in these tariffs for the satellite town of Gurgaon.
With the second wave negatively impacting the economic recovery, real estate experts believe the sector needs continued support from the government.
Delhi had announced a reduction in circle rates from March 1 to next six months while Gurgaon had raised rates from April.
“Revenue offices were closed for almost two months in Delhi due to the lockdown, so the benefit of reduced circle rates should also be extended by at least two months,” said Amit Goyal, the India chief executive at Sotheby’s International Realty. “There has been a lot of demand for high-end properties. The decision by the Gurgaon administration to hike the circle rate came at the wrong time, immediately before we were hit by the second wave.”
According to developers and property consultants, the decision to hike the circle rate by up to 90% by Gurgaon authorities will have a negative impact on the local real estate market and hurt recovery.
“Circle rate was increased in Gurgaon at a time when we expected some respite from the government in the form of real estate friendly measures,” said Anubhav Jain, CEO, Silverglades Group. “Since the pandemic, many states have either kept the circle rates unchanged or gone for a reduction in rates. This helped them in keeping the property prices low.”
The need to rationalise circle rates has further increased after the second Covid-19 wave.
“We request the government consider reducing the circle rates by 15-20% in various localities. The government should also consider reducing stamp duty rates to boost demand immediately,” Jain said.
The Gurgaon administration decided to increase the circle rate by up to 90% at some of the posh localities of the city from Thursday.
For example, circle rates at the ritzy condominiums of DLF Camellias, Magnolias and Aralias have gone up from Rs 20,000 per sq ft to Rs 25,000 per sq. ft.
“Recent reports suggested that property transactions in prominent south Delhi areas were the highest in 2020-21. This reflects high demand for luxury properties. Some areas that were lagging started seeing queries after the government announced the reduction in circle rates,” said Pradeep Prajapati, head of luxury residential services at IQI India. “The Delhi government should consider extending the deadline for the sector to recover from the damage caused by the second wave.”
Areas such as Maharani Bagh, Panchsheel Park and New Friends Colony, where there were hardly any transactions in the past few years, have suddenly become active.
The circle rate moderation also translates to a 1% reduction in stamp duty and that’s a relief for buyers. In some areas, both buyers and sellers had to bear the tax on the differential and that was discouraging transactions.
The sector has witnessed the positive impact of slashed stamp duty charges in Maharashtra on the property markets of Mumbai and Pune, which suggest that the state government’s decisions have a direct impact on the sector.
In fact, in the past one year, the department’s enforcement team has razed more than 100 farmhouses carved out on 200 acres of agricultural land in Sohna, Wazirpur and other areas of the city.
GURUGRAM: With unscrupulous builders targeting the city outskirts to carve out illegal farmhouses amid the pandemic, the department of town and country planning (DTCP) has stepped up its action against such illegal constructions on agricultural land in areas like Sohna and Wazirpur.
In fact, in the past one year, the department’s enforcement team has razed more than 100 farmhouses carved out on 200 acres of agricultural land in Sohna, Wazirpur and other areas of the city.
As per Haryana government policy, the minimum area for low-density farmhouse colonies is 25 acres but many of these developers carved out farmhouses on smaller land without permission from the authorities.
District town planner RS Batth said that the department is now planning to intensify action against such illegal farmhouses and verify the documents of the existing farmhouses in Sohna and other areas.
“Taking advantage of the pandemic and the consequent lockdown when our officials were busy with Covid-related duties, some of these builders not only laid a network of internal roads but also erected electric poles and constructed boundary walls. The builders also wooed prospective buyers by projecting the same as an attractive investment citing their proximity to IGI Airport and the Delhi-Mumbai road corridor,” he said.
When asked about the mushrooming of illegal farmhouses particularly in Sohna, Batth said, “There are mainly three reasons — the land cost is low, then there are already resorts and farmhouses in the area, and the place is scenic and full of greenery.” “Timely action saved a lot of innocent investors from getting duped as these builders were all set to sell one-acre farmhouses on 20-acre land under the name of Nature Valley.”
One of the major demolitions took place on June 8, when some 80 illegal farmhouses, being developed in two colonies of 30-acre each, were demolished in Kiranki village near Westin Sohna resort in Sohna. Similarly, farmhouses were being carved out on a 12-acre land in the Budhera area under the name of Verma farms.
The land located in Gurgaon will be used to develop a high-rise children-centric residential project. The land with a development potential of 21 lakh sq ft will mark Ashiana Housing’s foray in the Gurgaon real estate space. The firm plans to develop over 1200 units—1750 and 1800 sq. ft—over the next 4-5 years.
Ashiana Housing had bought a 22 acre land parcel in sector 93, Gurgaon from Ramprastha Group in a deal valued at over Rs 200 crore.
The land located in Gurgaon will be used to develop a high-rise children-centric residential project.
The land with a development potential of 21 lakh sq ft will mark Ashiana Housing’s foray in the Gurgaon real estate space.
The firm plans to develop over 1200 units—1750 and 1800 sq. ft—over the next 4-5 years.
“The acquisition has been funded through internal accruals and issuance of debenture to International Finance Corporation and bank debt,” said Varun Gupta of Ashiana Housing.
He, however, refused to share the exact deal value.
Real estate consultancy firm Shearwater Ventures brokered the deal.
The deal holds significance as most funds and builders are now opting for a joint development model to acquire assets rather than investing in land.
Ashiana Housing, a leading player in the development of senior citizen projects, currently has around 4 mn sft of projects under development across Chennai, Jamshedpur, Jaipur and NCR. The firm also has 6 mn sft of projects in the pipeline.
“The sales had slowed down in April and May but we see a revival starting June,” said Gupta.
Source – realty.economictimes.indiatimes,com
The department of urban local bodies had approved the proposal for sharing of stamp duty charges between GMDA and the municipal Corporation of Gurugram (MCG) in April this year.
GURUGRAM: The Gurugram Metropolitan Development Authority (GMDA) is likely to get over Rs 350 crore from stamp duty charges every year. This comes as a huge relief to the cash-strapped government agency.
The department of urban local bodies had approved the proposal for sharing of stamp duty charges between GMDA and the municipal Corporation of Gurugram (MCG) in April this year.
While GMDA was earlier estimated to receive Rs 250 crore from MCG, it is now set to receive stamp duty charges from the Municipal Corporation of Manesar (MCM) as well. A proposal in this regard is already underway. MCM officials said just like MCG, the rules would be applicable to MCM as well.
“We had estimated receipt of Rs 250 crore from MCG alone. Now with MCM in the picture, we expect Rs 350 crore to Rs 400 crore from stamp duty charges annually,” said a senior GMDA official. He added that the charges will be paid to GMDA with effect from April 1, 2021.
The metropolitan authority had first written to the state government over splitting of stamp duty charges with MCG in 2019. A notification in this regard was finally issued in April this year. Prior to the notification, MCG collected 2% stamp duty charges.
The proposal had met with opposition from the municipal councillors and mayor Madhu Azad, who stated that the move would impact the development works in the municipal areas. Chief minister Manohar Lal Khattar, however, approved the proposal during a GMDA meeting last year.
The money from the stamp duty charges will help GMDA in bridging the gap between its expenditure and income for the current fiscal year. The budget for the fiscal year 2021-22 has been estimated at Rs 1,848 crore, whereas the expected receipts for the year are around Rs 1,200 crore — a shortfall of around Rs 600 crore.
“The collection of external development charges (EDC) and stamp duty charges together should be able to fill the gap. We are depending on the state government for the remaining amount,” the GMDA official said.
In order to make the civic body more independent, chief minister Khattar had also announced earlier this year that GMDA as well as the Faridabad metropolitan authority would be gettingEDC directly from the developers, thereby eliminating delays. All the EDC charges for Gurugram and Faridabad will go to GMDA and FMDA, respectively.
Source – https://realty.economictimes.indiatimes. com/
The residents complained that the Municipal Corporation of Gurgaon (MCG) had initiated the construction of four RWH pits in the colony in September 2019, but the contractor left the work mid-way which is causing a lot inconvenience for them.
GURUGRAM: At a time when depleting underground water is a major concern in the city, residents of Suncity are struggling to get four rainwater harvesting pits (RWH) operational since last one year.
The residents complained that the Municipal Corporation of Gurgaon (MCG) had initiated the construction of four RWH pits in the colony in September 2019, but the contractor left the work mid-way which is causing a lot inconvenience for them. They alleged that several complaints have been made to the concerned officials, but it has fallen on deaf ears.
Kusum Sharma, a member of the RWA said, “The contractor has left the work unfinished and since then we are trying to get this completed. Two half constructed RWH pits are in the greenbelt area and the rest is in two parks of the colony. This is really sad that on one hand the administration is creating awareness of the RWH and spreading the word to conserve water but on the other hand the reality is very much different. We are wasting precious rain water around 10 lakh litres.”
MCG took over Suncity Township in April 2019. The residents complained that the huge dug pits are left open which could pose serious risk to their safety, especially children playing in the park. Besides, the stagnated water in the pits has also become a breeding ground of mosquitoes, the residents said.
Source https://realty.economictimes.indiatimes. com/
“As the lockdown restrictions eases, we will call a meeting of the MCG officials and DLF to review the status of work done for the handover and will then set a fresh deadline,” said Hariom Attri, joint commissioner-3, MCG.
GURUGRAM: The Municipal Corporation of Gurgaon (MCG) has decided to extend the deadline set for DLF to complete the pending civic infrastructure work in DLF-1, 2 and 3 for their handover to the corporation.
“The deadline will be extended since there is shortage of manpower. No work was done in the last two months due to lockdown. As the lockdown restrictions eases, we will call a meeting of the MCG officials and DLF to review the status of work done for the handover and will then set a fresh deadline,” said Hariom Attri, joint commissioner-3, MCG.
In the meeting held in February, DLF had submitted a tentative timeline to complete the pending work between July and December.
However, the MCG officials found the timeline too long and had set a deadline of June 30.
“Around 70% to 80% of the work, related to roads have been completed in the DLF-1 and 2. This was the status before the lockdown was implemented. However, a majority of work is still pending in the DLF-3. We have not yet been able to convene a meeting and discuss the takeover,” said a senior MCG official.
DLF officials did not comment on the matter.
The takeover of DLF-1, 2 and 3 was announced by chief minister Manohar Lal Khattar in 2016.
Real estate firm DLF NSE 2.90 % has leased nearly 300,000 sq ft office space to three companies in Gurgaon at a time when the Covid-19 pandemic has slowed down commercial deals, said two people aware of the development.
The corporate has leased 180,000 sq ft house to Microsoft, 40,000 sq ft to Morepen and one other 80,000 sq ft to an undisclosed world information administration firm.
Majority of the house has been taken at DLF Downtown, an upcoming venture in Gurgaon.
“The leasing is a part of these corporations’ growth plan as soon as the present Covid-19 state of affairs stabilises. The constructing the place house has been taken is below building and is predicted to be prepared by December 2021,” mentioned a property marketing consultant, who didn’t want to be recognized.
Sriram Khattar, managing director of DLF Rental Enterprise, mentioned the corporate is not going to touch upon particular person offers.
Microsoft and Morepen didn’t reply to queries emailed by ET.
Earlier this yr, DLF had leased 210,000 sq ft of workplace house to US healthcare firm Syneos Well being, in one of many largest offers in industrial actual property in Delhi-Nationwide Capital Area (NCR) in latest months. The corporate had additionally taken house in DLF Downtown.
The primary section of the venture – being developed below DLF Cyber Metropolis Builders, a three way partnership between DLF and GIC, with leasable space of 1.5 million sq ft – is predicted to change into operational by December 2021.
The workplace house leasing in Delhi-NCR witnessed a internet absorption enhance of 5% quarter-on-quarter in January-March, with 1.07 million sq ft, in keeping with a report by worldwide property marketing consultant JLL.
“Delhi-NCR continues to be a vibrant location for the workplace market, with well-established submarkets and corridors,” mentioned Manish Aggarwal, managing director, Delhi-NCR, JLL India. “Whereas Gurgaon and Noida have taken the lead by way of improvement and infrastructure, town itself continues to stay a extremely most well-liked location. In whole, eight initiatives totalling 4 million sq ft had been added to the inventory, which stood at 129 million sq ft on the finish of the quarter.”
Source -economictimes.indiatimes.com
Loading...
Something went wrong. Please refresh the page and/or try again.
