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BENGALURU: The lowering of the hiked stamp duty rates for Joint Development Agreements and mortgage of title deeds, streamlining plan approvals and clarity on the Transfer of Development Rights (TDR) are the key grievances faced by the realty sector in the state, says CREDAI. A memorandum was submitted to DCM DK Shivakumar on Saturday.
CREDAI Bengaluru president Amar Mysore said residential projects in the city are expected to increase by 10-15%, compared to last year. “The market is poised for significant expansion across various micro markets due to strong IT sector growth, a thriving startup culture and infra development,” he said.
Emerging micro markets like Bagalur are experiencing a nearly 70% surge in residential property prices over the past five years, he specified, however adding that the sector faced many challenges. “The TDR is a tedious process. By simplifying it, the owners giving up land will not be disadvantaged,” he observed.
He also called for streamlining plan approvals. “Measures such as a single-window system for obtaining NOCs, reducing approval fees that is currently linked to guidance value and standardising zonal regulations across various planning authorities are required for ease of doing business,” he said. Unnecessary procedures like commencement certificates need to be eliminated, he added.
“The stamp duty has been increased on an ad valorem basis without any cap and we recommend lowering it. We have suggested implementing a staggered payment scheme for remittance of labour cess as construction happens over a period of time,” the president said.