Property-in-Law – FindMyProperty

YEIDA (Yamuna Expressway Industrial Development Authority) has finally initiated offering possessions letters to plot allottees under residential plot scheme 2009. The first lot of 55 allottees has been issued possession letters by the Authority. Another 1600 plots owners will be handed over possession by mid-2017, another 4800 will receive possession next year.

Firstly, 55 plots, twenty owners of 4,000 square meter plots and thirty-five owners of 2,000 square meter plots in Yamuna Expressway. Authority is trying to hand over possession of 1633 plots, these plots measure 300 and 500 square meters and are located in 18 and 20 sector. Allottees are facing a delay in getting possession of their plots due to farmer agitations. Farmers of nearly 77 villages in the area have been agitating for a hiked compensation which is approved by state government in 2014.

YEIDA indicated about Rs 300 crore has already paid to farmers for land in sector 20 of the YEIDA area. The Authority is in the process of taking over possession of sector 18, which has nearly 7000 allotted plots. As and when acquisition and development of the plots are completed, the allottees will be handed over the possession of the same.

RERA (Real Estate Regulation and Development Act) is likely to pre-launch stage will be abolished and a project can be launched only after obtaining all approvals. Real Estate Developers are expected to move a build and sell model instead of selling residential projects before construction even begins.

RERA Act will not allow developers to test the markets by going for pre-launch sales. They would prefer to rather build a part of the project and then sell it to buyers.

With the rising preference, ready properties sale of which have risen significantly in the past year, compared with under construction projects. Customers progressively choose to buy complete project due to increasing uncertainly in the real estate market. In this way, RERA will remove the pre-launch stage and force developers to launch a project under the new guidelines only once all approvals are in place. This is believed to be a safer approach since cash outflows will be limited during the pre-constructions stage. This will help maintain fixed funds for timely completions of the project.

The developer plans to adopt this model in the two or three projects it has lined up for launch in the near future. For the buyer it gives him the comfort that the project will be completed in time.