NOIDA: The Noida Authority on Thursday gave its in-principal approval to the conversion of landholding rights from "lease hold" to "freehold" subject to nod from the Uttar Pradesh government, according to officials.


COMMERCIAL BREAK
SCROLL TO CONTINUE READING

The authority also agreed to take feedback from the public over allowing floor-wise sales of houses built in residential areas, they said.


The decisions, which could have a significant impact on real estate and property in the city adjoining the national capital, were taken during the authority's 195th board meeting.


"The proposal was brought for discussion in the meeting and the board gave an in-principal nod for converting the landholding rights to freehold. The authority's chief executive officer and chairman, 
Alok Tandon, has been authorised by the board to now send the proposal to state government for its approval," a senior official said.


In Noida, plots or flats are sold on leasehold basis instead of freehold basis.


In leasehold, a plot or flat is owned by the purchaser for 99 years. The buyer has to pay a certain amount of lease rent for the property. Whereas in freehold property, no lease rent is required to be paid by a buyer.


Several industry and trade bodies, resident welfare associations and citizens had staged a protest in the city on October 4 demanding conversion of land holding holding rights. The protestors, who were joined by Gautam Buddh Nagar MP Mahesh Sharma, had accused the Noida Authority of having "anti-people" policies.


Among other decisions taken during the meeting, the board, which last met in April this year, also approved setting up an office of the Real Estate Regulatory Authority (RERA) in the city on the 450 sq metre plot in Sector 44.


The board also approved a proposal for the e-auction of residential plots which were left out during the initial allotment. The new scheme would be published this month, according to an official statement.


It also allowed construction of stilt parking in residential areas where the plot size is less than 125 sq metres, the statement said. Earlier this facility was available only for single plots over 125 sq meters.


The statement said if a builder does not give registry of houses within one year of the lease deed, houses of 100 sq metre will be fined Rs 50 per day and those above 100 sq metre will be fined Rs 100 per day. 


It noted that flat buyers who live without getting their houses registered even after the issuance of 'Completion Certificate' to the builder cause loss to the revenue department.


In cases of acquisition of farm land, the authority is liable to provide its owners with five per cent developed land in a populated area.


Due to non-availability of land with the authority, it was proposed to the board that the farm land owners be given monetary compensation at the rate of Rs 22,000 per square metre (in compliance with a Supreme Court order) instead of the five per cent developed land, a proposal that was accepted by the board, the statement said.


The board also gave its approval for creating of a large multipurpose area designated for various social functions including weddings at Sector 151A, it said.