Kolkata: West Bengal Government of late has came out with a ‘Township Policy’ to promote affordable housing including housing for EWS in the state. While land scarcity is limiting developers to develop Residential Township Projects in West Bengal, the recent ‘Township Policy’ by the State Govt is likely to benefit the developers, according to Shri Sushil Mohta, President Credai-Bengal and Managing Director, Merlin Group – a leading developer of West Bengal.
“For the first time in history, Government of West Bengal has realized the importance of urban development and real estate industry and that is the reason a Township Policy has been introduced. The Township Policy is for land measuring 50 acres and above is meant for inclusive development i.e. there will be provision for EWS housing as well as job oriented activity in each township,” Mohta said.
However, the State has faced scarcity of land and ownership of land parcel is fragmented. It is really difficult to accumulate a sizeable parcel of land holdings in a short time, Consolidation of a 50 Acre land parcel takes long time at least 3 to 5 years. As such, real estate industry is expecting a policy for developments on smaller land parcels. Besides, due to Urban Land Ceiling and other issues, it is really difficult to get approval of housing projects, he said.
Another favourable decision was done by the WB Government to auction PSU land to private real estate developers, which the Credai, apex body of realtors has welcomed.
“It will fetch good price and we welcome the decision of Government for offering such land parcels to private developers. Credai members will definitely look for such opportunities to buy those PSU land for development of housing/ commercial complex and townships. Presently Calcutta Tramways Corporation is coming with offers for their land parcels which are remaining unutilized by company and there has been quite a good response to such offers,” Shri Mohta added.
Commenting on the expectations by the apex realtors’ body CREDAI Mohta said, “We are expecting some friendly policy for budget housing. Some concessions of interest on Home Loans to the LIG and MIG home buyers are expected. Further, to bring down cost of affordable housing the Govt. should consider relief in service tax, VAT applicable in construction and sale of affordable housing projects.”
“The formulation of Township Policy would ease the developers in building new projects with at least half a dozen townships to come in next 2 years,” Shri Mohta told to Gharabari.com. It will become a trend setter in Bengal in time to come and the State Government will be quite supportive for such investments in realty sector, he said.