Gzb hikes housing charges by 5.3%; to hit small builders
GHAZIABAD: The Ghaziabad Development Authority (GDA) has revised the existing charges levied on housing for the new financial year. Sources said that rates have been increased to the tune of about 5.3% as compared to the previous financial year (2021-22).
GDA officials said the hike for the new financial year has been “moderate” due to the Covid-19 pandemic.
Incidentally, the annual hike was in the range of 8-10% in the last few years.
“The charges for all categories have been increased by about 5.3%. The hike is lower than the previous years when it was in the range of 8-10%. This year, it is lesser on the basis of lower price index, which is a resultant of the pandemic situation,” said Ashish Shivpuri, GDA chief architect.
The authority has increased a host of charges that are levied on the clearance of map layouts. These include stacking charges, strengthening charges and supervision charges, among others. For instance, the hike in supervision charges is revised from ₹21.55 per square metres (sqm) to ₹22.7 per sqm.
Likewise, the submission fees for different categories such as houses, group housing and commercial buildings have also been hiked. For instance, for group housing (on built up area), the charges have been increased from ₹16.15 per sqm to ₹17 per sqm.
The authority has also defined the new rates for the external development charges (EDC), which is levied for taking up external infrastructures such as roads, drains, sewage, etc., in its housing schemes.
The charges have been defined for 14 GDA schemes (excluding Loni area) which include areas such as Indirapuram, Shalimar Garden, Ramprastha, Laxmi Vihar, Ashok Nagar, Patel Marg and Arya Nagar, among others.
For instance, the EDC in 14 housing schemes of the GDA has been increased from ₹1,890 per sqm to ₹1,911 per sqm.
“The new rates will be applicable from the new financial year and will be valid for all new projects. There is also an increase in the Metro cess and elevated road cess, which are applicable in respective influence zones alongside the project area,” Shivpuri added.
Members of the Trans-hindon Builders’ Welfare Association said that the hike in charges will increase the cost of housing.
“It is bound to affect the small builders (taking up development projects in less than 2,000sqm of land) as the authority has not increased the floor area ratio. This will mean that additional constructions may not be taken up, while the charges have been on a rise year after year. In such a case, the small developers will be forced to pass the hike in the cost of housing to customers,” said Pradeep Gupta, chairperson of the association.
“The construction works have remained affected due to Covid-19 for the last couple of years. If the floor area ratio is increased, we will be able to meet the costs and the authority will also earn good revenues,” Gupta added.