Retention Policy for Buildings in HP Likely To Bring Down Rentals

August 24, 2007	(Be the first to rate this story!)  Loading ...
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Property price in Himachal Pradesh fears a sharp fall in rentals in the wake of the recent decision of the state government to approve the Retention Policy for buildings.

The move will push the development of structures that were stopped midway. Since, the prices will go down; there will be more accommodation for visitors, feel real estate consultants. However, industry watchers say the property prices to soar again once there are more housing units available on rent regularizing rules.

According to the latest Retention Policy for buildings, building owners will have to pay a fee of Rs 500 per square metre in limits of Municipal Corporation Area and Rs 200 per square metre for legalising the documents.

Buildings built without any prior approval will also be regularized on payment of the above mentioned fee. Such a case will bring penalty of an additional sum of Rs 5,000 to Rs 9,000 for every storey in a building in limits of Municipal Corporation. Contrary to this, constructing buildings in other areas without any prior approval will call out a fee of Rs 2,000 to Rs 6,000.

As per the approved Retention Policy, if any residential building will have convenience stores in any of five storeyes shall be considered for regularisation subject to provision for parking in the premises.

News Published Under:   Real Estate India |