Properties at Noida, Greater Noida, and Yamuna Expressway to become free-hold

There is good news over property ownership . If the new ownership policy recently announced by the government of Uttar Pradesh is implemented, the properties at Noida, Greater Noida, and even Yamuna Expressway, will become free-hold . Currently, land is allotted on lease for 90 years in Noida-Greater Noida. The authorities have formulated different slabs for the annual lease and charge 10% for residential property and 27.5% for institutional , industrial and commercial establishments, of the total value of the property. With the implementation of the new ownership policy, when land will be allotted on free-hold , those who have bought or are planning to buy flats or plots from builders or the authority could actually become the owners. According to urban land policy (being followed by the Delhi Development Authority ), land ownership is of two types: free-hold or lease-hold . In free-hold , ownership is for the perpetuity while in leasehold , it is for specified time, which can vary between 30 years and 100 years, in general. In Delhi, up to 2008, of the 82,948.84 acres of acquired land, 75,609.84 acres has been allocated for residential, commercial , institutional, industrial , green areas and infrastructure projects like roads. Initially, the whole of the land was given to end users on lease, with the authorities being paid ground rent; but slowly, all these are being converted into free-hold property, as the authorities are facing an uphill task in realizing the dues with thousands of cases pending in the government departments. Therefore, the DDA decided that most of the land should be free-hold except institutional and commercial. The UP government has taken a leaf out of this experience and has decided to follow suit. It is highly likely that the other NCR cities like Gurgaon, Faridabad and Ghaziabad will also convert the ownership policy from lease-hold to free-hold . Impact of the proposed land-ownership policy: In Noida-Greater Noida, individual buyers, even builders, are not the actual owners of the property on which they have invested a huge sum of money in constructing buildings and developing physical infrastructure like roads and sewerage. According to the existing lease policy, flats and plots are subleased by the authorities to users. From the records provided by development authorities in Noida, of a total of 20,316 hectares, around 10,000 hectares has already been developed. The remaining area will be developed in the next phase. According to the master plan of Yamuna Development Authority , of a total of 2,30,000 hectares (up to Agra), 50,000 hectares (up to Jewar) is being developed in Phase 1, for both residential and commercial purposes. In Greater Noida, 49.7% of a total of 36,000 hectares has been used for residential (23%), commercial (7%), and industrial (19.7%) development. The Master Plan 2031 of the Noida authority hopes to build 2.5 lakh new houses along the expressway and adjacent to Noida Extension in the next three years. Out of this, nearly one lakh houses are being constructed along the expressway under group-housing projects. The remaining 1.5 lakh houses have been proposed adjacent to Noida Extension and Sectors 74, 75, 76, 78, 79, 113, 116 and 117.

source:http://economictimes.indiatimes.com/markets/real-estate/news-/properties-at-noida-greater-noida-and-yamuna-expressway-to-become-free-hold/articleshow/13007406.cms