Monday, 19 October 2015

Private developers to build sector roads in Gurgaon, get higher FSI

GURGAON: Building roads had always been the government's responsibility. But the Haryana government has quietly washed its hands of this key task, citing difficulties in land acquisition.
Instead, it has left it to private builders to directly acquire land from farmers and build roads. The move will speed up projects which often get held up because basic infrastructure is not in place. While this will help buyers as they are now likely to get flats on time, they may also have to pay a price for this, as builders could pass on the higher acquisition cost -- because of the extra land for roads they will now have to buy -- to buyers.
https://upload.wikimedia.org/wikipedia/commons/b/b2/Delhi-Gurgaon_Airport_Expressway,_2007.jpg
The government worked out this solution when it found that the Haryana Urban Development Authority had a master plan for a township, but was not being able to acquire land for its roads because of the stringent clauses in the 2013 acquisition policy.
So, with the fate of the township uncertain - as no township can be built without sector roads - the government decided to leave it to private players to do the acquiring. Private builders will now negotiate directly with farmers and buy land from them and develop sector roads as per the master plan.
To compensate developers for the cost it incurs in buying land and building roads, the authority will allow developers a higher floor space index (FSI). In this case, the FSI will be 0.875, which means if the developer uses 1000 sqm land to build a road, he will be allowed 875 sqm additional built-up area in his project.
Director of Ashiana Homes, Rohit Raj Modi, said the provision will be a great help in developing a new area like South of Gurgaon. He said this will help them in timely completion of projects as developers will not have to depend on the authority to acquire land.

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