Open house: Should Chandigarh Administration allow conversion of leasehold properties already sold?
Conversion of unsold properties from leasehold to freehold is a welcome move made by the Chandigarh Administration. It should be extended to leasehold properties already sold as well.
Sapna Sharda, Chandigarh
Give option of paying a fixed amount
Initially when Chandigarh was coming up, all properties in the city were sold on a freehold basis and the price was payable in instalments. The Administration should give leasehold property owners the option of paying a fixed amount, may be in instalments, to free their properties for good. The Administration can determine the amount on the basis of area of plots or the value of buildings.
NPS Sohal, Chandigarh
QUESTION
Traffic jams have become a norm in Zirakpur. Commuters remain stranded for a long time near the McDonald’s lights point, Singhpura chowk, Patiala chowk and at the Chandigarh border on the Zirakpur-Chandigarh stretch where a vehicular underpass is being constructed. What should be done to ensure a smooth flow of traffic on this stretch?
Suggestions in not more than 70 words can be sent to
openhouse@tribunemail.com
The sooner, the better
Not allowing the sale of unsold properties in Chandigarh before their conversion from leasehold to freehold itself was unethical, if not illegal. Now that the wisdom has finally prevailed on the UT bureaucracy, there is no logic in not extending this move to the properties which have already been sold under legitimate sale agreements. Making the things simpler for the people, without jeopardising its own interests, should be the watchword for the Administration.
SC Luthra, Chandigarh
Get rid of leasehold properties
The Administration should convert all leasehold properties into freehold ones at the earliest by charging a nominal conversion fee. Commercial as well as residential properties will get a boost if assessed properly. The need of the hour is to convert all leasehold properties into freehold ones for a better financial stability regarding immovable assets as per the cost inflation in the country.
Col TBS Bedi (retd), Mohali
Admn should Give nod to conversion
The Administration should give the nod to convert leasehold properties into freehold ones to make residents at ease. Rates and rules should be little flexible and within everybody’s reach. It will not only help residents to have full ownership of properties but generate revenue for the Administration as well. Rules related to properties in Chandigarh are too rigid compared to the other states. Keeping the properties on leasehold is only causing harassment to residents.
Abhilasha Gupta, Mohali
Fulfil demand of city residents
The Administration must resolve the demand for conversion of leasehold properties into freehold in the commercial and industrial areas at affordable conversion rates. The new policy must give a major fillip to the stagnant real estate market in the city. Apparently, it will have a positive impact on the property market. Leasehold properties create a lot of issues in terms of payment of additional charges such as annual lease money and transfer of ownership rights.
Anita K Tandon, Kharar
Whole city should be under one system
Half of the sectors in Chandigarh are already freehold properties. The leasehold system was started in the seventies. Now that the Administration has converted unsold leasehold properties into freehold, people want the Administration to go one step further and allow the conversion of properties already sold, so that the whole city is under one system.
Sukhwant Bhullar, Chandigarh
Formulate foolproof conversion policy
In Chandigarh, ownership right in leasehold properties rests with government agencies, such as the Estate Office, MC and the Chandigarh Housing Board, while freehold status gives the owner complete rights over a property. The Administration must allow the conversion of leasehold properties already sold in the city. However, rules should be made more stringent so that the charm of the City Beautiful is not lost, like we are seeing in Panchkula due to the floor-wise system. These three agencies must be given rights to allow the sale of vacant and unsold leasehold plots as freehold properties. The Administration must come up with a foolproof policy.
Vineet Gandhi, Mani Majra
Admn should shift to a freehold policy
People welcome the decision of the Administration to convert its unsold leasehold properties into freehold. This will cause disappointment to those who had purchased leasehold properties. Keeping in view present day requirements, the Administration should shift to a freehold policy. It had allowed the conversion of properties from leasehold to freehold in 2017. People who had purchased leasehold properties should be allowed to convert them into freehold. It was learnt that the UT Adviser had said all auctions would be held on a freehold basis in future.
Vidya Sagar Garg, Panchkula
A step-motherly treatment
The Administration should also start the process of converting leasehold properties already sold into freehold ones, otherwise it will just be a step-motherly treatment with their owners. People will start moving the court to get justice. Also, the Administration can earn more revenue by levying a fee from 5% to 10% of the total estimated value of a property. Even the owners won’t mind in paying this nominal fee for getting their properties converted from leasehold into freehold. In the long run also, the Administration can earn a huge revenue whenever owners want to transfer the ownership of their freehold properties.
Savita Kuthiala, Chandigarh
Admn must come up with a plan
Nearly all unsold commercial and industrial plots, and a sizable chunk of residential plots in the city under the jurisdiction of the EO, MC and the CHB are leasehold properties. The EO conducted its last auction in November 2019 when all 10 freehold properties on offer were sold, while there were no takers for 15 leasehold plots. The Administration must come up with a plan to allow conversion of industrial and commercial plots from leasehold into freehold.
Sanjay Chopra, Mohali
Extend benefit to sold properties too
After allowing conversion of unsold properties from leasehold to freehold, the Administration should also allow the same conversion of leasehold properties already sold in the city. But one thing must be kept in mind that allowing conversion of leasehold properties already sold should be in favour of the public and there must be no scope for corruption in it.
Adish Sood, Amloh
Convert all properties into freehold
While the sale of fresh properties has been authorised by the Administration on a freehold basis, the owners having leasehold properties face a lot of problems once they intend to sell them. To get an NOC or other clearances from the Estate Office is quite cumbersome. It is suggested that all properties be converted into freehold ones after payment of dues.
MR Bhateja, Nayagaon
Maintain basic architecture of city
The Administration has taken a wise decision to auction the unsold properties on a freehold basis in future. There is also a need to convert the properties already sold into freehold under a robust policy. The basic architecture of the planned city must be maintained.
Wg Cdr Jasbir Singh Minhas (retd), Mohali
Admn will earn good revenue in long run
The authorities must take a call to convert leasehold properties already sold as it will bring in more revenue to the Administration which is facing the financial crunch. In the long run, the authorities will earn a good revenue on account of increased registry charges on the resale of these properties. It will also check the illegal sale of these properties.
Bharat Bhushan Sharma, Chandigarh
Customer-friendly policy needed
Had the Administration and the Home Ministry acted timely, the UT would have sold all properties long ago. If the Administration and the Chandigarh Housing Board formulate a customer-friendly policy allowing changes carried out decades back and charging a reasonable amount for conversion of properties from leasehold to freehold, it will benefit both parties. The Administration will be able to generate more revenue and the residents can easily raise loans, etc, for their properties.
Suresh Verma, Chandigarh
High rates will not serve the purpose
We welcome the decision of the Administration to review the leasehold policy that properties on leasehold will be converted into freehold and in future, all auctions will be held after conversion of properties into freehold. The Administration should issue a notification to allow the conversion of leasehold properties already sold in the city on very nominal rates. High rates will not serve the purpose.
Kamaljit Singh Panchhi, Chandigarh
Will facilitate sale of properties
There are restrictions regarding transfer of ownership of leasehold properties and bank loans are not easily available, whereas in case of freehold properties, ownership is for an indefinite period and financing is easy. The conversion of properties from leasehold to freehold would help in hassle-free sale and purchase of properties. The demand for conversation of properties from leasehold to freehold should be considered as early as possible.
Charu Malhotra, Mohali
Charge reasonable rates for conversion
There has been a hue and cry over the skyrocketing rates of conversion of property from leasehold to freehold. In certain cases, the rates have been hiked as maximum as more than 50 per cent. At that time, the rate for conversion of property from leasehold to freehold was only Rs 1,710 per square yard. The rate for an MIG flat of the Chandigarh Housing Board worked out to Rs 6,100, but now this rate has been fixed at Rs3.05 lakh. The Chandigarh property, be it residential, commercial and industrial, should be converted from leasehold to freehold at reasonable charges.
SK Khosla, Chandigarh
A win-win situation for all stakeholders
The decision of the UT Administration to allow the conversion of unsold properties from leasehold to freehold in Chandigarh was long overdue. This step will result in a more productive use of unkempt properties. It will also generate revenue for the Administration in the long run. The unsold leasehold properties had documentation issues as many of these did not have proper lease titles and litigations were also pending in courts. So, this decision is going to be a win-win situation for all stakeholders. The Administration can also think of allowing conversion of leasehold properties in the city so that there are no future issues regarding this.
Dr Anil Kumar Yadav, Chandigarh
People like to invest in freehold property
Leasehold property was a trend in the city, but with the passage of time, people like to invest in freehold property. The Administration should allow to sell properties after converting these into freehold ones by charging a nominal fee. It will help boost the value of properties and give owners satisfaction that the properties belong to them. It will attract investments in the city and help bridge financial deficit.
Avinash Goyal, Chandigarh
Charge reasonable fee for conversion
t is a good decision by the Administration to convert unsold leasehold properties into freehold. Other properties, which are already sold and held by residents on leasehold basis, should be allowed to be converted into freehold. Most of the properties in the UT have passed more than half the lease period. It is a cumbersome process to pay land rent periodically. Buying and selling a freehold property is easy. Therefore, the Administration should allow the conversion of properties from leasehold to freehold at a reasonable fee. This way it can earn a huge revenue which can be used in the development of the city.
Sqn Ldr Manjit Singh Johar (retd), Chd
