Con­fed­er­a­tion of Real Es­tate De­vel­op­ers As­so­ci­a­tions of In­dia (Credai) gives a thumbs up to the pro­posal of sale of prop­erty on the ba­sis of car­pet area in the real es­tate reg­u­la­tion bill

HT Estates - - NEWS - Jee­van Prakash Sharma

Real es­tate de­vel­op­ers of re­pute and their rep­re­sen­ta­tive body Credai agree that su­per area sale is not a trans­par­ent method in real es­tate deal­ings. Many ad­mit that there are pos­si­bil­i­ties that de­vel­op­ers ma­nip­u­late the cal­cu­la­tion of car­pet area and com­mon ar­eas etc.

Anil Ku­mar Sharma, pres­i­dent, Credai NCR, says “I do ap­pre­hend su­per area be­ing mis­used by a lot of real es­tate de­vel­op­ers. Such prac­tices, how­ever, are preva­lent in com­mer­cial and not res­i­den­tial units.” There should not be too much of a dif­fer­ence be­tween the to­tal built-up area and the sum of the su­per area of all dwelling units in a group hous­ing so­ci­ety. “I can un­der­stand if the dif­fer­ence is lit­tle more in case of a township be­cause a lot of space is be­ing utilised for nu­mer­ous pur­poses which may not be a part of the built-up area,” he says.

Lalit Ku­mar Jain, chair­man, Credai, hails the pro­vi­sions of the real es­tate reg­u­la­tory bill tabled in Par­lia­ment re­cently as it rec­om­mends the sale of prop­erty on the ba­sis of car­pet area. “I have lot of ob­jec­tions to some pro­vi­sions of the bill but as far as the car­pet area sale is con­cerned, I am in its favour. In Credai’s code of con­duct, it is manda­tory for ev­ery de­vel­oper to men­tion the car­pet area of each flat to home buy­ers so that they know what they are get­ting from the de­vel­oper,” he says.

Jain feels car­pet area sale is more trans­par­ent. Ev­ery de­vel­oper should cal­cu­late costs to be in­curred on con­struc­tion and then fix the price on the ba­sis of the car­pet area of the apart­ment. “Do­ing so might mean higher costs per sq ft but at least a home buyer knows how much area he is get­ting at what cost. We all wel­come the pro­vi­sion of car­pet area sale in the real es­tate reg­u­la­tion bill,” he adds.

Some real es­tate de­vel­op­ers also al­lege that many builders are launch­ing projects at af­ford­able costs to at­tract buy­ers and later in­creas­ing profit mar­gins by adding in­creased su­per area.

“The car­pet area sale will put a full stop to all such prac­tices. It’s high time that the gov­ern­ment put a stop to this rob­bery, says a real es­tate de­vel­oper, re­quest­ing anonymity.

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