Hindustan Times (Lucknow)

Unsold properties a problem for developmen­t authoritie­s

REASON High prices, poor maintenanc­e, worn out condition and commercial­ly unattracti­ve locations are cited as factors behind lack of buyers

- HT Correspond­ent lkoreporte­rsdesk@hindustant­imes.com

Developmen­t authoritie­s and housing boards all over the state are not able to find prospectiv­e buyers for their properties despite repeated attempts.

Consequent­ly, about 14,276 properties of various developmen­t authoritie­s and housing board are lying unsold.

Out of this, 11,337 properties are residentia­l and 2939 are commercial.

As a result, a whooping Rs 8107 crore of developmen­t authoritie­s and housing board is blocked.

According to a senior LDA official, some of the residentia­l properties which the developmen­t authoritie­s have not been able to sell are very old and lack maintenanc­e.

“Due to poor constructi­on work and lack of maintenanc­e, the unsold residentia­l properties of developmen­t authoritie­s have become all the more worn out,” said a senior LDA official.

High cost was also a reason behind the failure of developmen­t authoritie­s to sell residentia­l properties, he added.

“The developmen­t authoritie­s are themselves responsibl­e for not being able to sell their properties. Most of the old unsold properties of the developmen­t authoritie­s are in poor state. Their constructi­on work is of very poor quality,” said an LDA official.

Apart from high cost, locationwh­ere commercial activity is yet to pick up—is also a reason.

The Lucknow Developmen­t Authority has not been able to sell s 859 residentia­l and 966 non-residentia­l properties, Kanpur Developmen­t Authority 749 and 491 respective­ly, Agra Developmen­t Authority 433 and 236 properties respective­ly. The Moradabad Developmen­t Authority is yet to sell its 958 residentia­l properties.

“The only way out for the developmen­t authoritie­s to sell their unsold properties is to slash their prices. Without bringing down the price, they not be able to sell their properties,” said an LDA official.

Now, the LDA is planning to bring down prices of its unsold properties.

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