Ut asks departments to submit details of recent auctions | Chandigarh News
Chandigarh: Even though Mohali district administration has increased collection rates from 42% to 76%, UT administration has requested details of property auctions conducted by different departments in the recent past . The move is part of the exercise to determine collector tariffs in Chandigarh.
Departments were asked to provide details such as the number of properties auctioned; list of properties put up for auction and list of properties that did not find a buyer. UT advisor Friend of Dharam recently directed the Deputy Commissioner (DC) to work on streamlining collector rates based on the current market situation.
Market experts have argued that strict rules, high recovery rates and leasehold status of properties are the main reason for poor auction properties. Recently, a delegation from the Chandigarh Business Council (CBC), Chandigarh Beopar Mandal (CBM) and other bodies submitted various representations to the UT administration and MP Kirron Kher on the reduction of collection tariffs. These bodies even submitted their memorandum to UT Advisor Dharam Pal.
Chander, President of the RSC verma said they have already presented the reasons for the failure of recent auctions by various departments and boards of the UT administration. There is an urgent need to convert the status of land from leasehold to freehold and there should be reasonable collection rates, which ultimately affects the reserve price.
For all these reasons, there were virtually no takers for residential and commercial properties. It’s high time the UT administration cut collection rates, Verma said.
CBM Chairman Charanjiv Singh said UT administration should consult with stakeholders before finalizing auction reserve prices. He added that they should also involve the body of traders before finalizing collector tariffs.
They have already asked the UT administration to reduce collector rates, because of which the commercial properties of the UT administration do not find buyers.
Last year, he said, the administration cut collection rates on commercial properties by 10% in key areas. The recovery rate has also been reduced by 5% on properties located in industrial areas, making the registration of commercial and industrial properties a little cheaper than before. However, no changes have been made for residential properties, while the collection rate for agricultural land has increased by 10%.
At present, the collection rate for an SCO from Sector 17 is Rs 5,25,405 per square meter, that of SCOs from Sectors 22, 34, 35 and along Madhya Marg is Rs 3,75,289 per square meter and Rs 62,599 per square meter in the industrial zone, phases 1 and 2.