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Chandigarh: Resolution to convert leasehold properties into freehold passed unanimously

Realtors stated that nobody had come forth for the leasehold properties because one has to pay hefty ground rent every year and even after paying crores for 99 years, the ownership of the property is not in their name.

Written by Hina Rohtaki | Chandigarh |
November 15, 2019 9:19:43 pm
Chandigarh: Resolution to convert leasehold properties into freehold passed unanimously The issue was raised when UT Administrator V P Singh Badnore had called all the councillors and officials to announce a financial help of Rs 152 crore to the civic body. 

The General House of the Chandigarh Municipal Corporation Monday passed the resolution to convert their leasehold properties into freehold unanimously on Thursday.

The resolution will now be sent to Chandigarh administration for final approval. The UT administration had asked the MC to send the proposal to them for approval. As many as 500 properties of the corporation and about 50 acres of land are lying vacant and not getting any takers.

The issue was raised when UT Administrator V P Singh Badnore had called all the councillors and officials to announce a financial help of Rs 152 crore to the civic body.

The officials then informed him that lot of revenue can be generated for the civic body and they need not depend on special grants if the vacant properties are rented out.

The matter will further be sent to the Ministry of Home Affairs for approval.

Realtors stated that nobody had come forth for the leasehold properties because one has to pay hefty ground rent every year and even after paying crores for 99 years, the ownership of the property is not in their name.

Why corporation passed this agenda

Auction of one specialty hospital site and 20 SCFs sites at Manimajra during July had failed because there was no bidder in the e-auction.These sites were put out for e-auction again in September. But this time also no bidder came up.

“It has been learnt that the bidders want freehold property instead of leasehold property, as it creates liability of annual ground rent, GST etc. The matter is placed before the General House of the Corporation for auction of properties lying vacant with MC Chandigarh on freehold basis instead of leasehold basis so that further approval from Chandigarh administration be obtained,” the agenda, which will be taken up in the House meeting scheduled for November 14, stated.

As many as 105 booths at Vikas Nagar have been auctioned six times while shops at subway sector 17 have been auctioned two times. At least 40 booths at new over bridge sector 17 have also been auctioned twice but there have been no takers.

Once the issue is approved, there will be takers for the freehold properties.

Also in the meeting

The councillors told the Municipal Commissioner K K Yadav to make some provision to get rid of Jaypee plant that is not processing the garbage at Dadumajra. They demanded take over of the plant.

To this, the commissioner K K Yadav said that they will be pleading the case before the National Green Tribunal which is scheduled to take place this month.

BJP Councillor Vinod Aggarwal said that two officials of MOH wing demanded flower pots from a nursery owner and when he did not fulfill the demand, they issued a challan to him.

The councillor was then asked to make a written complaint so that an inquiry can be done.

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