HYDERABAD: The Hyderabad Metropolitan Development Authority, at the request of applicants, builders and developers, has decided to extend the period of instalment facility for payment of development and capitalisation charges.
Payment of development charges between Rs 15 lakh and Rs 75 lakh will be allowed for 12 months as against four months now.
Payment of Rs 75.01 lakh and above will be allowed for a period of 24 months as against eight months now.
The HMDA will collect the charges in instalments as per Section 46 (5) of HMDA Act 2008 at an interest rate of 12 pc which will be calculated for the total period, added to the principal and then converted into equated quarterly instalments.
HMDA officials said that in the past two years building permissions, draft layout approvals, multi-storeyed building approvals were accorded and intimations given to the applicants, developers and builders to pay the charges.
Due to slump in the real estate market in the recent past, applicants were not coming forward to pay the charges and several files have been pending approval.
As the real estate market in Greater Hyderabad and on its outskirts started picking up in recent months, builders, promoters and developers are coming forward to pay charges that are payable by them and requested HMDA to provide instalments facility so that they can invest in the real estate market.
The payment period is being extended on the condition that the applicant or the developer should mortgage an additional area of 5 pc built-up area/land as an additional security. They should submit a separate application for availing the instalment facility. The applicants can issue post-dated cheques towards their instalments. The applicant or the builder has to submit an undertaking on a Rs 100 stamp paper for compliance with the above conditions.