HUDA bank­ing on pool­ing pol­icy to solve land is­sues

Pool­ing pol­icy ex­pected to be im­ple­mented by the end of July. HT Es­tates ex­am­ines dif­fer­ent as­pects of the pro­posed pol­icy

Hindustan Times (Chandigarh) - Estates - - HT ESTATES - Mu­niesh­wer A Sa­gar mu­niesh­­gar@hin­dus­tan­

CHANDI­GARH: The Haryana Ur­ban De­vel­op­ment Au­thor­ity (HUDA) re­named as Haryana Shehri Vikas Prad­hikaran (HSVP) is strug­gling with its fi­nances, but com­pound­ing its prob­lem is lack of ad­e­quate land bank in hy­per and high zones.

Most land banks it pos­sesses are lo­cated ei­ther in medium po­ten­tial or low zones. This re­stricts its ca­pac­ity to raise funds by launching sec­tors or res­i­den­tial plot schemes.

“The au­thor­ity’s ca­pac­ity to in­crease land banks got re­stricted af­ter ‘the en­act­ment of land ac­qui­si­tion, re­ha­bil­i­ta­tion and re­set­tle­ment Act 2015, which made it dif­fi­cult to ac­quire land. Even the rules un­der it are yet to be fi­nalised,” a se­nior HUDA of­fi­cial re­quest­ing anonymity said.



Un­der the pro­posed pol­icy, de­vel­oped res­i­den­tial plots will be pro­vided in ac­cor­dance with the saleable area achieved in the ap­proved lay­out plan of the to­tal pooled area in the scheme.

De­vel­oped res­i­den­tial plots in the ra­tion of 60% of saleable area achieve per acre in hy­per po­ten­tial zone (in the ear­lier draft pol­icy it was 65%), 55% in High I and High II zones; 50% in medium po­ten­tial zones and 45% in Low I and Low Ii zones shall be al­lot­ted, be­sides a com­mer­cial (booth) site 22.6875 sq m against each one acre of land taken sub­ject to mi­nor ad­just­ments, keep- ing in view the stan­dard sizes of res­i­den­tial and com­mer­cial plots pro­vided in the scheme area at the time of first flota­tion of the res­i­den­tial sec­tor where plots shall be carved out.

In those cases, where the en­ti­tle­ment for res­i­den­tial plots works out to less than 40.50 sq m (stan­dard size of 2-marla plot), the de­vel­oped res­i­den­tial plot shall not be al­lot­ted and only the mon­e­tary ben­e­fit for the en­ti­tled area shall be given at first floata­tion rate of that sec­tor/scheme.

Sim­i­larly, in case of land own­ers whose land con­tri­bu­tion is less than 1,000 sq m (up to 999 sq m only), in­stead of com­mer­cial site, mon­e­tary ben­e­fit at dou­ble the nodal rate of first floata­tion of res­i­den­tial plots in the sec­tor shall be given for the en­ti­tled area to be worked out on the ba­sis of norm of 7.5625 sq m land for 1,000 sq m.

As per the pol­icy, “The de­vel­oped land will be al­lot­ted to the el­i­gi­ble landown­ers as per their en­ti­tle­ment through draw of lots from among the ap­pli­ca­tions re­ceived from the landown­ers opt­ing for the scheme.”

The com­mer­cial sites shall be al­lot­ted only if the same are pos­si­ble to be planned in that scheme as per norms of HUDA, oth­er­wise ad­di­tional res­i­den­tial area equiv­a­lent to dou­ble his en­ti­tle­ment of de­vel­oped com­mer­cial plot shall be al­lot­ted to the land owner ei­ther as a sep­a­rate res­i­den­tial plot or by club­bing it with his res­i­den­tial en­ti­tle­ment.

Plots will be al­lot­ted on free­hold ba­sis and will be governed by the rules and reg­u­la­tions of HUDA. There will be no up­per time limit for the ben­e­fi­ciary landowner un­der the scheme for uti­liza­tion or sale of his de­vel­oped sites.

How­ever, any sub­se­quent pur­chaser of land limit for con­struc­tion shall also be ap­pli­ca­ble for sub­se­quent buy­ers as per HUDA pol­icy.

“The land use in re­spect such land shall re­main ‘res­i­den­tial’ or ‘com­mer­cial’ as the case may be and shall not change un­der any cir­cum­stances. Also, frag­men­ta­tion of the al­lot­ted res­i­den­tial/com­mer­cial plot shall be per­mit­ted un­der any cir­cum­stances,” reads the pol­icy.

Un­like in the Pun­jab land pool­ing scheme wherein landown­ers par­tic­i­pat­ing in the scheme are given en­ti­tle­ment cer­tifi­cates, which are trans­fer­able; in the HUDA land pool­ing pol­icy, land own­ers will be paid ₹50,000 per an­num per acre as sub­sis­tence al­lowance till they are al­lot­ted de­vel­oped plots.


It will free HUDA from han­dling the re­ha­bil­i­ta­tion and re­set­tle­ment pol­icy for ous­tees, and the fre­quent court man­dated en­hance­ments.

“It is a stand- alone pol­icy and since fair quan­tum of de­vel­oped res­i­den­tial and com­mer­cial sites shall be pro­vided to the landown­ers in lieu of their un­de­vel­oped land, no ben­e­fits of re­ha­bil­i­ta­tion and re­set­tle­ment pol­icy of the state gov­ern­ment or an­nu­ity shall be ad­mis­si­ble to the landown­ers opt­ing for this Land Pool­ing scheme,’ reads the pol­icy.

HUDA also ex­pects to re­duce costs for projects and ul­ti­mately the plots prices af­ter the in­tro­duc­tion of land pool­ing pol­icy.

“Land costs are a ma­jor com­po­nent of the project costs. The costs of land ac­qui­si­tion were in­creas­ing even be­fore the new land ac­qui­si­tion act was en­acted. Costs also in­crease with court man­dated en­hance­ments from time to time, some­times mak­ing projects un­vi­able for the au­thor­ity. All these costs ul­ti­mately add to the price on which the au­thor­ity can of­fer plots to the pub­lic. Ac­cord­ing to es­ti­mates, with land pool­ing pol­icy, the au­thor­ity is ex­pected to cut the price of plots by 30% to 40%,” said the of­fi­cial.

In some of the re­cent HUDA res­i­den­tial schemes, HUDA had to of­fer plots at prices higher than the mar­ket prices, which re­sulted in poor pub­lic re­sponse. In some of these schemes, even some suc­cess­ful al­lot­tees sur­ren­dered plots be­cause of price is­sues. HUDA ex­pects that in­tro­duc­tion of land pool­ing pol­icy would mit­i­gate such is­sues.

Of­fi­cials at HUDA ad­mit that the pol­icy would be most use­ful for de­vel­oped ar­eas in the hy­per and high po­ten­tial zones, where sev­eral land pock­ets are still to be ac­quired.

“In such places, land own­ers don’t have enough land them­selves to meet min­i­mum land re­quire­ments, and now, they would be able to of­fer land through this pol­icy. For the au­thor­ity, such pock­ets can be used ei­ther to of­fer ad­di­tional plots or to con­struct ba­sic ameni­ties and struc­tures,” added the of­fi­cial.

Also, res­i­den­tial sec­tor could also be de­vel­oped through this pol­icy if at least 70% of landown­ers agree to pool their land, which is con­tigu­ous.


Plots will be al­lot­ted on free­hold ba­sis and will be governed by the rules and reg­u­la­tions of HUDA.

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