REAL ESTATE |
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Bordering on a boom
Mullanpur Garibdass is set to emerge as the new Zirakpur in Chandigarh’s periphery. In fact, its proximity to Chandigarh is set to work in the village’s favour, with big builders, bureaucrats and politicians making a beeline to purchase land there and cash in on the real estate boom in the region.
Advantage, Mullanpur
n
Proximity to Chandigarh
n Located along the proposed Chandigarh-Baddi road
n Availability of large chunks of land for better planning
n Patronage of politicians and bureaucrats
n Affordable prices, particularly in the interior
areas
Disadvantages
n Virtual absence of civic amenities
n Mushrooming of haphazard constructions
n Sluggish development activity
n Land disputes are common
n Prime locations already out of the reach
With other townships in Chandigarh’s periphery, like Zirakpur, Kharar and Mohali, bursting at the seams, Mullanpur is set to emerge as a Mecca for land developers. Already, big builders, allegedly in collaboration with politicians and bureaucrats, are working overtime through local property consultants to cobble together land deals. A random survey of several villages in Majri sub-tehshil, under which the Mullanpur area falls, shows that property dealers are on a consolidation spree. Currently, the dealers are buying small chunks of land along the Chandigarh-Siswan road and internal roads and converting them into larger plots to sell them to the big colonisers from metropolises. In fact, Mullanpur is already competing with Zirakpur and Kharar as far as the land prices are concerned. An acre of land along the Siswan-Chandigarh road is selling for over Rs 5 crore. The rates were in the range of Rs 20 to Rs 50 lakh about a couple of years back, says Arvind Puri, a resident of Mullanpur and real estate observer. The price escalation comes as no suriprise to property consultant Baldev Goel. Since the other towns around Chandigarh do not have much area to expand, the Mullanpur area presents an ideal opportunity to big builders to plan mega projects as huge chunks of land are available. With the Punjab Government prosposing to develop the Chandigarh-Siswan road as an alternative route to Kurali to take the pressure off the Chandigarh-Kharar-Kurali highway, this area has immense potential to rival Zirakpur and Kharar in the years to come. With the realtors having big plans for the area, it has been a windfall for the villagers.The villagers whose land borders the main roads have been dictating the property prices, and the realtors are ready to dish out any amount to consolidate their holdings. It has been a boon for those farmers whose small holdings come between the two large chunks owned by builders, as the latter pay a hefty amount to get a contiguous stretch of land for upcoming projects. The land that fetched a few lakhs a couple of years back, is suddently worth crores. In fact, several small farmers having land at the strategic locations are reportedly holding it back in anticipation of higher returns. Besides, the Chandigarh-Siswan road will ultimately pave the way for the completion of the Chandigarh-Baddi road, making Punjab and the industrially advanced Baddi area of Himachal Pradesh an integrated zone.The Punjab government recently agreed to construct its portion of the ambitious project aimed at linking Punjab with Himachal Pradesh and reducing the distance between Chandigarh and Baddi by over 30 km. Meanwhile, the coming up of the Sarangpur institutional zone in Chandigarh, which would contain such mega projects as Film City, Education City, the Amusement Park and Solar Energy Park besides major residential complexes, will only add to the importance of the area. Since residential accommodation is costly in Chandigarh, the builders are targeting the huge workforce and the middle and lower middle classes as potential buyers for their apartments in the upcoming projects. As not everybody can afford a house in Chandigarh, private builders will target this segment by offering affordable accommodation in this emerging area, asserts Munish Mittal, director of a New Delhi-based real estate firm having a stake in the area. And the proposal of the Punjab Government to have a notified area committee (NAC) for Mullanpur has come as a shot in the arm for property consultants selling the dreams of a house in ‘authorised’ terrain to gullible home buyers. Already, scores of houses outside the abadi area (on the agricultural land), constructed on the plots carved by property dealers, have sprung up, with the authorities concerned looking the other way. Even as these unauthorised structures mock at the existing rules and regulations, they give politicians a readymade vote bank, thus making them demand the regularisation of these structures time and again. |
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Mapping chaos
Ever since Dehra Dun became the capital of Uttarakhand on November 9, 2000, the city has been witnessing tremendous growth, a constant increase in population and commercialisation. Though the city has progressed a lot in the past few years, what is worrisome is the fact that not only illegal construction activity is in full swing, but also that commercial establishments are coming up in residential areas without any check. And the main reason for this unregulated building activity is the government's failure to implement the masterplan.
A perusal of the official files shows that the process of a new masterplan was started way back in 1999, when the state Urban and Rural Planning Department recommended a survey to assess the growth needs of the city over the next 25 years. The survey got under way in 2002 and a draft masterplan was prepared in 2005. The Dehra Dun-Mussoorie Development Authority (MDDA) then started the process of hearing objections from the public and this exercise continued till February, 2007. Thus, after much delay, the MDDA forwarded the draft masterplan to the Urban and Rural Planning Department for amendments, if any, within two months in mid-2007, but till now the government has not notified the plan. "As per the proposals of the masterplan, besides residential urban development schemes, the entire road network of Dehra Dun city was to be connected, flyovers and railway overbridges were supposed to be constructed and encroachments to be removed. Unfortunately, the lackadaisical attitude of the successive governments has made the implementation of the masterplan a dream for the city residents," rues Sanjay Bhatt, a resident of Neshvilla Road. According to city residents, large-scale unplanned and unauthorised constructions can lead to an adverse impact on the environment in the long run. Making a fervent appeal to the government to pay attention to this crucial issue, they have demanded that the authorities ensure that no building comes up in violation of the land use policy. Meanwhile, several real estate agents point out that draft masterplan, which was submitted to the government last year, does not have much relevance today. "Considering that the ground conditions have changed a lot during the past year, the plan needs to be revised before it is enforced," feels Ravi Nautial, a property dealer on Shastradhara Road.
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Room
for more
Caught in a situation where the demand for housing persists but affordability is a rider, the realty sector is trying hard to bounce back. The tricity is facing skyrocketing rentals. Still, the databank with the builders about prospective buyers in the form of highly paid staff of MNCs and IT firms shows that steep rents do not stop them from taking up new housing projects in the periphery. Government efforts to curb inflation may not have yielded much results, but these have certainly affected the realty sector. Steps like squeezing liquidity and hiking interest rates, especially on home loans, to curb inflation have taken housing beyond the reach of many prospective buyers. While the mounting EMIs have disturbed the budgets of existing loanees, prospective buyers have had to shelve their plans of a dream home for the time being.
The builders, on their part, have had to bear the brunt of an unprecedented rise in construction costs. Thus, the situation, for the time being, may be termed as stagnant, if not recessionary. Under such conditions, it would make sense for the builders to hold on for a while, while prospective buyers would be well advised to strike deals in their favour. It’s advantage buyers, with some builders offering attractive proposals like 20 per cent down payment and interest-free deferment of the full and final payment till the time of possession, which may prolong to two years or more. Such proposals are receiving a good response. Another idea that could gain currency in this scenario is that of zero rentals. Under this option, the allottee has to pay a fixed one-time deposit to the builder before taking possession of the accommodation for a fixed license period. At the end of the agreed period, the builder refunds the said amount, after deducting payments for repairs etc, if any, against the vacant possession of the premises. For example, if a house costing Rs 40 lakh is handed over to a licensee for a deposit amount of Rs 10 lakh for three years, the builder, at the end of the deal, shall gain from the appreciation in the value of the building as well as have the benefit of utilising the funds. The licensee, on his part, saves himself from paying hefty rentals and also gains time to arrange the additional amount to own a suitable accommodation. Thus, the construction sector, in the interest of the consumers as well as further development, deserves incentives. A policy of lower interest rates on home loans in the Rs 20-30 lakh bracket and support to the builders offering low-budget houses in the shape of tax concessions and rebates can be of great help in easing the housing problem.
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Prune prudence
Satish Narula There is often confusion in the minds of gardeners and those engaged in planting on whether to prune a tree or not. Before deciding on this, one must understand the nature of a tree, when and in which case it needs to be pruned. There are two scenarios. One, when a tree is growing in the forest and the other, when it is part of an urban landscape. In the former case, it is free to spread its wings. There is no need to restrict its spread. In fact, most of the species create their own space. In case of an urban landscape, however, there are certain compulsions that lead to the need for cutting and pruning or altogether removal at times. This is necessitated in those cases where the plantations were not done keeping in view future considerations, such as the need for widening the roads, for building constructions, for pruning the lower limbs where such low-headed plants were wrongly planted and were interfering with free movement and so on. One thing is, however, common in all the cases, that is removal of dead, diseased and strangulating branches. This is not done in the forests. In case of fruit trees, keeping in view their type, whether evergreen or deciduous, proper training and pruning are a must. At times, when they have outlived their productive life, they have to be headed back for rejuvenation. This holds true in the case of the mango, guava, pear trees, etc. In case of the trees of peach, plum, pear, mulberry, ber etc, annual pruning is a must to get quality fruit. The litchi tree is not to be disturbed at all, let it have a round closed crown. Talking about a few individual trees, there are those like the Ashok (Polyalthea longifolia pendula), a columnar tree that grows straight up and after a few years, starts giving side branches near the top. When these become heavy, they bend dangerously on all sides. Heading in such cases is necessitated to keep the tree low and in shape. For best results, the tree is headed back at about 10 feet and after a few weeks, it takes back its columnar shape without showing any signs of cutting. In case of low-headed trees like the Lahura, Pride of India and Plumeria (Pagoda tree also called Firangipani), the lower branches have to be pruned to avoid interference with free movement. The latter being deciduous can be pruned and headed to give it shape at the desired height. You may have visited the famous Mughal Garden at Rashtrapati Bhavan in Delhi, the beautiful and disciplined round canopies are the Moulsari trees, closely trimmed to keep them in an umbrella shape. Though we do not take such pains, in foreign countries you’ll will find uniform trees throughout an avenue. This is possible only when they are properly trained and pruned, more importantly with mechanical devises. The right time for cutting and pruning any tree is when it is dormant. However, in case of evergreen trees that do not shed leaves, the best time is December. At that time, the incidence of disease is minimal. As a precaution, one must seal the cut end with a disinfectant to save it from fungal infestation. The writer is a senior horticulturist and can be contacted at satishnarula@yahoo.co.in |
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Style with tiles
Harsimrat Kaur If you are tired of the same old paints on your walls and want to get rid of the tedious job of colouring them frequently, then turn to tiles for lending a seductive look to your walls. Beautiful tiles will not only enhance the beauty of your floors and walls, but also make them durable. If fitted into your bathroom, they may even lure you into spending more time there, thus making you into a bathroom singer. Different types of tiles are available in the market and one can hunt for them, according to their use. You might have seen beautiful murals in palaces, monuments, forts and temples with mirror mosaics. Glass was especially imported for the same. Now, if you want the look of glass on your walls to make them stunning, then the pick of the day is mosaic tiles. Gold mosaic tiles are in vogue due to their unique appeal. You can pick them from a wide array of shades like the deadly combination of green and pink with gold, aqua with premium, sea green, rose and so on. Mosaic tiles are glass-like and give a royal touch to the walls, especially with a tint of green teamed with gold and pink. A different type of shine with embellishment is poured on the walls, making them dazzling. So, for elegant and stunning walls, the Midas touch of gold is in. “Mosaic tiles in the glitter series for walls, pillars and swimming pools are winning the hearts of millions. These tiles are made of glass raw materials, can be washed with water and are non-fading. The range of mosaic tiles is from Rs 58 to Rs 1,200 per sq ft,” says Pardip Jain of a sanitary store in Chandigarh. He says vitrified tiles for showrooms are also selling like hot cakes. Jain adds that tiles with borders; fruits, vegetables and flowers are the favourite pick for kitchens. And for kids’ rooms, tiles with cartoons make the walls special. If you are looking for an impeccable natural ambience, then the rustic tiles will fit the bill. “Rustic floor and wall tiles of certain brands are anti-skid. They are available in warm and appealing colours,” says Jain. They come with an aesthetic appeal and there are colour variations in the same design to help create the desired effect. For pavements, driveways, and parking areas specialised tiles are required. Bhushan Kumar of another sanitary showroom says, “Tiles for exteriors are ideal for driveways, terraces, walkways and parking areas. These tiles can withstand heavy loads and are resistant to acid as well as alkali build-ups.” “These tiles are available in natural hues of brown, green and yellow, elegant tones of terracotta as well as natural shades of greys and ivory,” Kumar says. They come in five surface textures like plain, checkered, wavy, polka dot and salt ‘n’ pepper. How about giving a touch of metal to your floor? Metal means strength, so tiles with metal are a good option for bathrooms. It is a flooring product with water absorption of less than 0.05 per cent, thus ensuring better stain resistance and easy maintenance, which adds to that clean and hygienic look. Moreover, it is pre-sized and pre-polished, making it easy to lay without the humongous task of cutting and polishing. These tiles are available in size 600 x 600 mm in various colours and designs with effects of bronze, nickel, meta, zinc, copper and lead. Due to its hardness and break-resistant quality, it is an ideal choice for areas with high traffic. It is specially designed for applications in hotel lobbies, restaurants and airports. They are available at Rs 235 per sq ft. So, go make your walls and floors elegant with a touch of tiles. |
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Claim apart
S.C. Vasudeva Q. My father owns residential and agricultural property. We are two brothers. Sometime back, differences arose between me and my father. Now my father wants to disown me from my share. Please tell if under the law can protect my share in this unmovable property. — Harpreet Singh, Hoshiarpur A. The letter does not indicate whether the property owned by your father is self- acquired or an ancestral one. Presuming that the same is self-acquired property of your father, he has the full right to dispose of the same during his lifetime without the permission of any of his legal heirs. He also has a right to make a Will in favour of anyone he likes and after his death, the property would be inherited by the person in whose favour the Will has been executed. Therefore, in case your father does not want to give you a share in his self-acquired property, you cannot force him to do so. Depositing capital gain Q. In one of the queries you pointed out that to claim exemption from the capital gains tax on the sale of a house, the amount of capital gain is required to be invested within a specified time -frame for acquiring/constructing the house. Further, the amount which is not so utilised is required to be deposited in the Capital Gain Deposit Scheme Account. What happens if the deposit account is not fully utilised? — Aman Sharma A. If the amount deposited is not utilised fully for the purchase or construction of new house within the stipulated period, the unutilised amount shall be treated as a long-term capital gain of the previous year in which the period of three years from the date of transfer of the original asset expires. For example, if an assessee had sold a plot for a net consideration of Rs.20,00,000, and earned a capital gain of Rs.5,00,000 and the unutilised amount lying in the deposit account was Rs.10,00,000, the calculation of taxable capital gain would be as under: The capital gains tax on the above amount would become payable in the year of expiry of the period of three years referred to above. In such a case, the assessee can withdraw the unutilised amount any time after the expiry of 3 years from the date of the transfer of the original asset, in accordance with the aforesaid scheme. Homing in on foreign land Q. I read your response to a query where your advice was sought regarding the purchase of property abroad and still getting the benefit of tax under Section 54 of the Income Tax Act. You suggested that it is possible for a person to buy a house abroad but to be prepared for litigation, since there are no high court or Supreme Court rulings on this issue. It has been over two years now. Has there been any new development in this case? Assuming there are no challenges to this decision by the Appellate Tribunal of Income Tax Department, is it wise to consider investing abroad and avoiding paying tax under Section 54. — Chandra Shekhar A. I have not come across any other High Court or the Supreme Court decision on the matter. However, there is one decision which is against the earlier decision of Mumbai Bench which was reported in 100 ITD/60 (Mrs. Prema P. Shaw vs. ITO) which permitted the acquisition of property outside India. The decision against the above position is by Ahmedabad Bench reported in 6 SOT 721. In view of the difference in opinion between the two benches of the ITAT, it will be better to wait for any High Court or Supreme Court decision on the subject. |
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