DDA approves amendments to Delhi master plan 2021

Liquor shops, pubs, discotheques and clubs cannot be opened on any floor of buildings falling in residential areas in the city, according to the DDA, which today approved the proposed amendment in the Master Plan for Delhi 2021. 

In February, the urban body had processed the modifications, seeking to bring relief to traders from a sealing drive. However, the Supreme Court had last month issued a directive to the DDA to invite fresh feedback from the public over a period of 15 days on the amendment. 

"As many as 814 objections and suggestions for shop-cum-residence category and 115 for godowns category were received within this stipulated time period. People objected to the earlier proposal of allowing liquor shops, pubs, discotheques and clubs in residential areas, and so the Authority factored it in and incorporated it," a senior DDA official said. 

Besides this, a number of other public suggestions were also incorporated into the amendment, in the Authority meeting of the urban body at the Raj Niwas here, chaired by Lt Governor Anil Baijal, who is also the chairman of the DDA, he said. 

"Liquor shops, bars, discotheques, pubs and clubs shall not be allowed in residential premises as mixed use (residential-cum-commercial)," the DDA said in a statement. 

The senior official said, it meant that an owner of a multi-storeyed building cannot open any such recreation facilities on any of its floor or in any part of the building. 

The proposed amendment in the Master Plan 2021 for Delhi, includes bringing a uniform floor-area ratio (FAR) for shop-cum-residence plots and complexes at par with residential plots. 

Some areas developed prior to 1962 like Lajpat Nagar, Rajouri Garden, Tilak Nagar, Kamla Nagar, having concentration of commercial activities, may continue subject to conditions prescribed under the mixed use regulations. Shop-cum-residence complexes shall be allowed to continue with the activities permissible in local shopping centre, subject to few conditions, the statement said. 

However, activities which are non-polluting, non-hazardous and not prohibited by law in residential areas shall be permitted, it said. 

Among other proposals, it was also approved that "amount collected on account of various charges will be credited to a designated fund (escrow account) to be used exclusively for augmentation of infrastructure facilities and amenities (parking, public toilets, water supply) of capital nature". 

In order to promote parking, the owner of the plot will be allowed to amalgamate the plots up to minimum plot size of 1,000 sqm, to provide additional parking on the amalgamated plot, the DDA said. 

"Such plots shall be entitled for a rebate of 50 per cent in conversion charges. In case, there is no parking facility available in the vicinity, local body concerned may declare such areas as pedestrianised shopping streets or areas. Public transport authority shall ensure last-mile connectivity to these areas," it said. 

Proposed norms for redevelopment of godowns clusters existing in non-conforming areas are to be inserted as part of a new paragraph in Chapter 6 -- Wholesale Trade as a modification to MPD - 2021, the DDA said. 

"Stand-alone godowns having direct access of minimum 30 m road and having storage of non-polluting and non-hazardous materials, shall be allowed," the DDA said. 

Some decisions related to draft Regulations for Enabling the Planned Development of Privately Owned Lands were also taken. 

These regulations shall apply to the land parcels having activities or uses that were already in existence before the notification of MPD-1962, among other types of land. 

They shall not applicable to land parcels in the ridge, regional park, reserved forest areas, land parcels in monuments regulated zones, among other categories of land, the DDA said in the statement. 

The Confederation of All India Traders (CAIT) welcomed the approval by the DDA to various amendments to be made in Master Plan 2021 and termed it as a "positive step" by the central government to resolve the sealing issue in Delhi.

Source - ET Realty

GST enlarged tax base, brought formalisation: Government

The Goods and Service Tax (GST) has resulted in greater formalisation of the Indian economy with over 6.5 lakh new assessees having sought registration under the new indirect tax regime, the government said on Monday.

A Finance Ministry release here said that this increased tax information flow would help to eventually boost both direct and indirect tax collections in the country.

"In the past, the Centre had little data on small manufacturers and consumption because the excise was imposed only at the manufacturing stage, while the states had little data on the activities of local firms outside their borders," it said.

"Under the GST, there will be now seamless flow of availability of common set of data to both the Centre and the States making Direct and Indirect Tax collections more effective."

The Ministry reported "early signs of tax base expansion."

"Between June and July 2017, 6.6 lakh new agents, previously outside the tax net, sought GST registration. This is expected to rise consistently as the incentives for formalisation increase. Entire textile chain is now brought under tax net," it said.

"Further, a segment of land and real estate transactions has also been brought into tax net 'works contracts'. Besides, formalisation will occur of cement, steel and other sales, which earlier tended to be outside the tax net, because builder will need documentation of these input purchases to claim tax credit," it added.

The government also said more steps are being taken for further simplification of processes in order to facilitate tax payers and to extend benefits to customers.

Source - Business Standard

Top eight cities' office leasing deals rise 60% in five years: JLL

The momentum of commercial real estate absorption continues to strengthen as the total number of office leasing transaction across top 8 cities of India have risen 60% over the past five years.

While only about 820 lease transactions in grade A buildings were recorded in 2013, the number reached close to 1,300 in 2017, showed JLL India data. Average size of transactions has, however, seen a decline. The size per transaction has moved down from an average of 31,000 sq ft in 2013 to 27,000 sq ft 2017. This is significant as it defines the way office space is actually getting consumed.

Given the fact that IT/ ITeS continues to transactions, this decline signals a trend of rationalization of space uptake through consolidation and workplace strategy implementations. “Indian office transaction is at an interesting cusp. We have been experiencing a growth in overall leasing activities. While net absorption has remained stable for the past few years, we expect it to be at around 32 million sq ft by end of 2018 and be close to 35 million sq ft in the subsequent two years till the end of 2020,” said Ramesh Nair, CEO and Country Head, JLL India.

Last year, net leasing rose to 29 million sq ft and the total number of transactions were close to 60% higher than 2013 and was about 7% year-on-year over 2016. The big jump, however, was seen in the periods of 2014 and 2015 which was largely due to the stability brought in by the then newly elected government that had come to power with a clear majority.

Source - ET Realty

RBI's home loan revision brings cheer to LIG, MIG home buyers in Delhi NCR, Chennai and Kolkata, reveals study

Reserve Bank of India's (RBI) decision to increase the housing loans limits and revise the value of the house available for Affordable Housing Scheme under Pradhan Mantri Awas Yojna – Urban (PMAY-U) has resulted in a significant increase in the availability of stock in both the primary and the secondary market and almost doubling it in the Middle-Income-Group (MIG) category, reveals a Magicbricks survey.

Last week, the RBI revised the housing loan limits for Priority Sector Lending (PSL) eligibility from the existing Rs.28 lakhs to Rs.35 lakhs in metropolitan centres (with population of ten lakhs and above), and from existing Rs.20 lakhs to Rs.25 lakhs in other centres, provided the overall cost of the dwelling unit in the metropolitan centre and at other centres does not exceed Rs.45 lakhs and Rs.30 lakhs respectively.

Magicbricks analysed data pertaining to a million plus listed properties for sale and resale on its platform and it revealed that as a direct consequence of RBI's revision of the overall cost of the dwelling unit in urban areas, a significant portion of home buyers in both the Lower Income Group (LIG) and MIG buyers in the Delhi NCR cities of Greater Noida, Ghaziabad, and Noida, along with Chennai and Kolkata will be benefitted. Also, the Mumbai Metropolitan Region (MMR) cities of Thane, Navi Mumbai, and Mumbai will have just the LIG segment benefitting from the revised PMAY-Urban scheme while most of the MIG segment buyers missing out on the scheme. Gurgaon is the only city where not many will benefit in either of the LIG and MIG segments.

Post revision, Greater Noida seems to be the biggest beneficiary in the MIG category as the number of available properties for sale have gone up from 31% to 55%. It is followed by Ghaziabad, Kolkata and Noida. The southern cities of Chennai, Hyderabad, and Bangalore will have around 20% of the city's stock eligible under the PMAY-U for the mid income segment buyers.


In the LIG category, the revision has led to a significant addition of eligible stock in the cities of Chennai, Thane, Pune, and Navi Mumbai. While the average price in these cities is high, increase in the price limit to Rs.45 Lakhs brings the peripheral areas of these cities with relatively cheaper stock into the scheme fold and makes the purchase relatively cheaper.

The revision in housing loans limit is a significant boost to both the consumers and the housing market as it brings a sizable section of homebuyers in India under the scheme and incentivizes them to buy property.

Source - Magicbricks

Government increases carpet area for middle class houses eligible for CLSS interest subsidy

MUMBAI: In a major decision to bolster affordable housing and construction sector leading to enhanced economic activity, the government has increased the carpet area of houses eligible for interest subsidy under the Credit Linked Subsidy Scheme (CLSS) for the Middle-Income Group (MIG) under Pradhan Mantri Awas Yojana (Urban).

As per the revised norms, the Ministry of Housing & Urban Affairs has enhanced the carpet Area of houses eligible for subsidy under CLSS for MIG to 160 sq meter or 1,722 sq ft for MIG -I and 200 sq meter or 2,153 sq ft for category MIG-II.

Earlier the carpet area for these houses under MIG I and MIG II category was fixed at 120 sq meter or 1,291 sq ft and 150 sq meter or 1,614 sq ft.

The decision is another big step to boost the construction sector that contributes to increased activity on the supply side. This initiative is expected to result in enhanced economic activity that would contribute to improvement in the demand side.

These enhancements will now enable more MIG customers to qualify for subsidy and avail the benefits provided under the ambitious flagship Mission of Pradhan Mantri Awas Yojana (Urban).

Apart from increasing the number of beneficiaries, the increase in carpet area will improve the construction activity and will assist in moving the housing sector forward.

“The increase in carpet area for MIG under CLSS to 200 square meters will prove to be a big push for urban housing in tier II and III cities and towns. This will not only give a boost to Housing for All but also help bolster the economy,” said Jaxay Shah, President of realty developers’ body CREDAI National.

Under the revised norms, individuals with annual household Income from Rs 6 lakh to Rs 12 lakh would qualify for MIG I category, while MIG II for income above Rs 12 lakh up to Rs 18 lakh. Interest Subsidy for MIG I and II will be 4% and 3%, respectively for maximum loan tenure of 20 years.

The eligible housing loan amount for interest for subsidy would be Rs 9 lakh and 12 lakh for MIG I and MIG II category, respectively. Loan quantum beyond this limit will be at non-subsidised rates.

This also augurs well with the Reserve Bank of India’s recent decision to revise the housing loan limits for Priority Sector lending (PSL) eligibility where it has been decided to revise the housing loan limits for PSL eligibility from existing Rs 28 lakh to Rs 35 lakh in metropolitan centres (with population of 10 lakh and above), and from existing Rs 20 lakh to Rs 25 lakh in other centres, provided the overall cost of the dwelling unit in the metropolitan centre and at other centres does not exceed Rs 45 lakh and Rs 30 lakh, respectively.

The increased construction activity in housing sector is expected to have cascading effect on core sectors like cement, steel, machinery and other allied sectors. More construction activity in the urban areas would result in creation of more jobs for both skilled and unskilled workers.

The scope of the CLSS was expanded to MIG category with the approval of the cabinet In February 2017. This scheme initially approved for implementation for the year 2017 has been extended up to March 2019. The CLSS for MIG scheme has gained momentum in the last couple of quarters and the off-take has picked up significantly. As on 11.06.2018, an amount of Rs.736.79 crore has been disbursed to 35,204 beneficiaries belonging to the MIG category, the ministry said in a release.

Source - ET Realty

Government to use sick PSUs land parcels for affordable housing

The government today approved revised guidelines for time-bound closure of sick and loss making central public sector enterprises and the disposal of their movable and immovable assets.

The decision was taken at a meeting of the Union Cabinet chaired by Prime Minister Narendra Modi here.

The guidelines accord first priority to utilisation of land of central public sector enterprises (CPSEs) under closure for affordable housing as per the relevant guidelines of the Ministry of Housing and Urban Affairs.

"The revised guidelines would reduce delays in implementation of closure plans of sick/loss making CPSEs. These guidelines will replace the guidelines issued by the Department of Public Enterprises in September 2016.

"These guidelines provide a broad framework for expeditious completion of various processes and procedures for closure of CPSEs by laying down important milestones in the closure process along with time-lines, outlining the responsibilities of the concerned Ministries/Department/CPSE etc in the process," an official statement said.

They also provide for advanced preparatory action to be taken by administrative ministry/department or CPSE, preparation of closure proposal, settlement of statutory and other liabilities of the CPSE under closure and modalities for disposal of movable and immovable assets in a time-bound manner.


Source - ET Realty