DELHI: A day after the Delhi government announced a policy to allow the extension of lal dora land, real estate dealers in areas like Ayanagar, Ghitorni, Sultanpur and Chhatarpur have started sniffing a windfall. If all goes well, they expect an instant increase of 20% in real estate rates from the day registration of the properties starts.
The real boom, however, will begin once the municipal corporation starts sanctioning the building plans.
The areas are realty hotspots for their proximity to Gurgaon and South Delhi.
“Once the government opens registration of the extended lal dora properties, it will give the area a legal stamp, which will immediately increase property rates drastically,” Rajan Siddiqui of Choice Associates, a Vasant Kunj based property broker firm, said.
On 15th June, at a mega event at Talkatora Stadium, the Delhi Chief Minister announced the government’s decision to restrict the use of Section 81 of Delhi Land Reforms Act for enabling regularization of construction, sale, purchase and registration of land by residents in hundreds of urban villages and regularized unauthorized colonies. She also conveyed the decision to extend the lal dora norms to constructions in the areas beyond the designated boundary of such villages. In some villages the lal dora land was last extended in 1908. The move will have no impact on farmhouses and agricultural land in rural villages.
Siddiqui said last year, many people invested in village areas, which on implementation of the policy would become part of extended lal dora. Siddiqui said one of his clients bought land in Chattarpur village last March for Rs 35,000 per square yard. Now, the same land can fetch Rs 1 lakh.
Siddiqui’s example is considered the best case scenario. Sudheer Tanwar of KSB Properties in Chattarpur said the decision would raise prices by 10%-20 % at the most. “In case of a property deal, many factors count, such as location and paperwork,” Tanwar said.
“Once the corporation relaxes norms for sanctioning building plans, those with well-paying jobs in Gurgaon will find it easier to secure loans. This will increase property prices,” said Kuldeep Chaudhary, a Sultanpur-based property dealer.
Sources said the villages that would benefit most are Chhattarpur, Sultanpur, Asola, Bhatti, Fathehpur Beri, Satpadi, Sahurpur, Aaya Nagar, Maidangarhi and Rajpur Khuld. Every dealer said the real figures will only come up after the policy is implemented which can take more than a year. “It is just an announcement. The government has asked villagers to submit maps of extended abadi which will take a few months. After that, the government will begin scrutiny, which can take over a year,” said a property dealer.
A few others said that with elections due later this year, the policy may remain only on paper until the new government starts functioning. “In the last assembly elections, Delhites were given a similar sop in the form of provisional certificates for unauthorized colonies, which got a regularization tag only last year. Residents, this time, may wait for implementation before they buy or sell,” said property dealer Harbhajan Tanwar.