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DDA’s land pooling plan gets all-clear from Centre

The amendments to the regulations were proposed by the Urban Development Ministry in consultation with the DDA.

By: Express News Service | New Delhi | Published: May 27, 2015 4:32:40 am

The Ministry of Urban Development on Tuesday approved the regulations for operationalisation of the Land Pooling Policy of the DDA. The approval comes with five amendments with an aim to ensure timely completion of real estate projects with all necessary infrastructure. The policy will be notified by the DDA soon.

These changes are to ensure timely external development of infrastructure by the DDA, help farmers pay development charges, ensure mandatory housing for economically weaker sections (EWS), transparency in allotment of returnable land and full utilisation of approved floor area ratio (FAR).

The amendments to the regulations were proposed by the Urban Development Ministry in consultation with the DDA and were approved by the Urban Development Minister M Venkaiah Naidu.

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According to DDA officials, the private sector will be responsible for assembling land which will then be made available to the DDA for re-development. As per the regulations, two categories of land pooling exist – Category I which includes land owners with land above 20 hectares and Category II which includes land owners with land between two and 20 hectares.

“The land returned to the developer entity in Category I will be 60 per cent while the remaining will be retained by the DDA. The land returned to Category II developer entities will be 48 per cent while the remaining will be retained by the DDA. Residents will be given an additional FAR of 400 if they apply for re-development through the policy. The additional FAR will give an incentive to the land owner,” an official said.

With regard to EWS category housing, the official explained, “In case a developer constructs 100 housing units on a piece of land that has been re-developed and returned to him by the DDA, he will be under obligation to provide 15 per cent (15 units in this case) for EWS category housing. Of this 15 per cent, 7.5 per cent will be given to the DDA while the remaining will be retained by the developer.” EWS housing will be constructed as a separate block.

Officials said that the regulations have made it easier for the common man to understand the process of becoming a developer from a land owner, what category of housing they fit in and how the land pockets will be given to them.

“The policy will help harness private potential and address the issue of housing for the lower strata of society, thereby moving towards the smart-city concept and making the city self-sustainable,” said DDA vice-chairman Balvinder Kumar.

According to the amendment, if there is any delay in completion of the development by DDA, which is the land pooling agency, the DDA will pay a penalty of 2 per cent of external development charges (EDC) per year for the first two years and 3 per cent of EDC per year thereafter to the Developer Entities (DE) (farmers/land owners) for delay beyond the date of completion of the construction by DE or five years whichever is later till the external development works are completed. This ensures external development by DDA in time, which has not been the case so far.

Officials said adequate parking as per norms, incentives for green building as per the MPD 2021 and basement setback will have to be incorporated.

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