Koregaon Park, Erandwana and Shivajinagar continue to top RR rates

In Pune city, Ghorpadi area, which has Koregaon Park, is the highest in terms of RR rates, followed by Erandwana area, Shivajinagar, Aundh, Parvati, Kothrud and Sadashiv Peth area, which continued to see a hike this year. Chinchwad in the Pimpri-Chinchwad Municipal Corporation (PCMC) has come on top too as listed in the read reckoner released on April 1 by the Inspectorate General of Registration and Stamps department. Pune was divided into 56 zones and PCMC into 28. The RR rates are market values of a property determined by the government for payment of stamp duty in the course of property transactions. City areas too have registered a marginal rise.

“This year, the rise has been moderate and we released the rates in the financial year, and with a six per cent dip in sale deed registrations and overall market assessment, the rates have been attributed accordingly in all the divisions, municipal corporations, rural areas and influential areas,” said Dr Ramaswami N, IGR, Maharashtra. With the existing slum witnessed in the market and demand of the construction industry, the state government has played safe and has drawn out the chart and increased the rates as is reflected in the market.

In the last six years, the RR rates have been high in the state, with 2010 registering 14 per cent, 2011 registering 18 per cent, 2012 registering 37 per cent, 2013 registering 27 per cent, 2014 registering 22 per cent and in 2015 it was 14 per cent. “This year for rural areas, the RR rate is at eight per cent, in influential areas it is seven per cent, municipal councils it is seven per cent, corporation areas five per cent and the average increase is seven per cent,” said the IGR.

The department, which is the second largest source of revenue for the state, has met the revenue collection target of Rs 21,468 crore as against last year’s Rs 19,965 crore, while they have registered more documents this year too. The state has set a target of Rs 23,458 crore for the year 2016-17.

In Pune, while assessing the rates, the IGR maintained that some areas such as Dhankawadi had remained unchanged while the rates in Ambegaon and Narhe areas where the building had collapsed saw a very marginal rise. “There is a marginal rise in some areas while it is stable or no rise at some of the places. We have done the same keeping the trend in the market. The existing rates have been given after assessing various projects, exhibitions as well as newspaper advertisements and last year’s rates. The IGR further stated that in at least 143 exhibitions assessed by the department, they found at least 90 per cent rates much higher than the RR rates of the area.

Satish Magar, vice president of All India Credai Association of Builders, said that while the construction industry all along had pressed for “no increase” in prices, they went ahead and increased the prices. “It will reflect in the overall prices directly or indirectly and it will not bring any relief for those in the construction industry or for the buyers,” said Magar.