Thursday, 18 April 2013

BDA to Crack Whip on Owners Over Land-Use Violation

BDA commissioner directs town planning dept officials to evaluate land-use violations with respect to mobile phone towers

The Bangalore Development Authority (BDA) is all set to crack the whip against house owners who have rented out their terraces for mobile towers without obtaining conversion certificates for commercial activities.

This is the first time that some authority is making an effort to rein in the multi-crore mobile-towers’ business in the city. Though there is no specific data on the number of mobile towers across the city, telecom industry sources maintain that there are around 1.25 lakh towers (each weighing anywhere between 3-10 tons) and a majority of these are located in residential areas.

This is in contravention to the BDA rules which mandate house owners to take permission from the BDA to change of land use from residential to commercial if towers are to be installed on their land.

BDA Commissioner T Sham Bhatt issued a directive to town planning department officials to evaluate the land-use violations with respect to mobile phone towers and submit a detailed report.

The commissioner’s directive states: “BDA has been allotting sites to people for residential purposes in various layouts across the city. However, there have been complaints that the beneficiaries have been diverting the same sites for commercial activities like setting up of mobile towers without obtaining land conversion certificate from the jurisdictional development authority. People have also complained about serious ill effects caused by such towers. Hence, I direct all the engineer members of BDA to conduct a detailed inquiry into the issue.”

While BBMP’s control was only to collect various taxes from these layouts, the BDA has retained powers of granting land utilisation and conversion licenses. But in several cases many people appear to be ignorant of these facts and have allowed companies to set up towers atop their houses.

Some RTI activists stated that the BDA (Allotment of Sites) Rules, 1984, clearly say that land in these layouts is allotted only for residential purposes and should not be diverted to commercial activities. Despite these provisions in the act, several site and house owners, without obtaining land conversion certificates from BDA have gone ahead and rented their premises to cellular companies to erect towers.

Despite these gross violations by buildings owners, BDA officials have failed to act. Further, these owners are hardly aware of the health hazards caused by these towers. The concrete roof of any RCC building would be just six inches thick and cannot withstand such huge loads, when you factor in the constant vibration of generator units placed at the foot of these towers. Some towers are placed on buildings more than 25years old. What if these buildings succumb to these constant vibrations?”

According to vaastu beliefs, a house owner gains wealth if he places a heavy object at the south-west. Hence many construct a single room or an over-head water tank in that direction.

Friday, 12 April 2013

Financial Bridges

Bridge loans are designed to meet needs for the interim period, between sale of an existing house and purchase of a new one.

Apart from offering regular new housing loans, financial institutions offer the facility of bridge loans too.

The interest rates for bridge loans are higher than the normal long-term loans since the duration of bridge loans are shorter.

Home bridge loans are specially designed to meet such requirements for the interim period between sale of the existing house and purchase of a new one. The HFI will lend approximately 80 per cent of the value of the new property.

The compulsion of arranging the immediate substantial payment to the builder was the deciding factor for the choice of loan. And the couple opted for a bridge loan from a housing finance institution.

This is useful when you do not want to take a long-term home loan. It gives you enough time to sell your existing property and make payment for the new house and also pay off the loan quickly.

How to go about it

The loan will be sanctioned only upon entering into a formal sale agreement with the builder of the new house. The documentation process will be similar to that of taking a loan on a new house/flat but the duration of the loan will have to be defined, which usually will be for a period of two years. The interest rates for these types of loans are higher than the normal long-term loans since the duration of bridge loans are shorter.

Thursday, 11 April 2013

BDA to Develop Lakes in Bangalore

Unable to take up the development and restoration of lakes within its limits, the Bruhat Bangalore Mahanagara Palike (BBMP) has decided to hand them over to the Bangalore Development Authority (BDA).

The BBMP has identified 183 live lakes in its limits. They cover an area of approximately 7,209 acres. The civic body had taken up development works in 132 lakes covering 5,382 acres. The BBMP commissioner had on August 19, 2011 written to the state government requesting it to take over the development of the lakes through the BDA, as it is unable carry out the required works on a regular basis. As per an order issued by the urban development department on January 25 this year, the BBMP is to hand over 78 lakes to the BDA. However, it will be the responsibility of the BBMP and the state government to earmark a certain amount for the development of the lakes.

A senior BDA official said, “The lakes have been handed over to the BDA. Soon, we will prepare an action plan after preparing a detailed project report. The first task before us is to remove the encroachments.”

Rejuvenate the lakes

On February 11, 1988, the L Lakshmanrao Committee had recommended that the state government take up development works around lakes. Among other things, silt should be removed, it said. The committee had recommended it not to hand over the lake or the surrounding land to any organisation. It is the responsibility of the revenue department to keep the lakes free of encroachments with the help of the Bangalore Metropolitan Task Force. The committee had also said that sewage water should not enter the lakes during rejuvenation work.

Wednesday, 10 April 2013

BDA to Develop Layouts with Infrastructure

The Karnataka government said that BDA would in future allot sites only after providing all
infrastructure facilities.

It was complained to the government that BDA layouts lack of facilities in the 12 newly formed layouts.

Chief Minister Jagadish Shettar recently said that the 12 new layouts formed by the Bangalore Development Authority(BDA) would get all infrastructure facilities by December 2014. “We will set a new trend. We will develop the layouts first and distribute  he sites later,” he added.

The CM assured that the government would provide all infrastructure facilities by December 2014 to the 12 new layouts - Banashakari 6th stage layout, Banashankari 6th stage continued layout, Anjanapura Layout, Anjanapura continued Layout, JP Nagar 8th Stage Layout, Sir MV Layout, Sir MV Continued Layout, Arkavathi Layout, Nagarabhavi Layout, Chandra Layout and Jnanabharathi Layout.

He said had government had already spent Rs 1,895 crore for providing basic facilities in these areas and 50% of the work had already been completed. Applications would be invited for Kempegowda layout in 2013. Shivarama Karanth Layout. The final notification is ready for acquiring land for the formation of Kempegowda layout.

Saturday, 6 April 2013

Developer Needs 34 Clearances to Complete Project

High stamp duties and difficulties in land acquisition are some other issues, which need to be addressed.

Delays in project clearances have helped property prices to increase by 40 percent in India. Usually, to start a new project, 34 procedures are required to obtain clearance which takes an average time of six months.

According to the Economic Survey 2013, “India’s housing and real estate sector faces many challenges. There are 34 procedures and the average time taken is 196 days, which increases the sale value by 40 per cent,” according to the Economic Survey for 2012-13.

Quoting the latest World Bank report, the survey stated that in terms of housing, India is one among the top countries but when it comes to project clearances, it ranks 182nd.

Rapid increase in land prices, absence of a long-term funding and lending market at fixed rates, limited developer finance, the Urban Land Ceiling Regulations Act (ULCRA) continuing in some states, existing lower floor area ratio in cities, high stamp duties and difficulties in land acquisition are some other issues, which need to be addressed, said the

In India’s total GDP, the real estate sector and the housing sector contribute a share of 5.9 percent and have seen growth of 7.2 percent in the year 2011-12.

The survey also said that property prices have become reasonable during the current financial year.
“As per the National Housing Bank RESIDEX index for the quarter July-September 2012 compared to April-June 2012 (covering 20 cities, with 2007 as base year), there is a general decline in prices of residential properties in some smaller towns, while the increase in other cities is mostly marginal,” the survey added, reports . With the increase in urbanization, the demands for housing in cities have been increasing over the years.

Friday, 5 April 2013

Guidelines for Renting Out a House

A home is not only place for dwelling but also a source of income. 

Many people invest in property as it provides good income. Renting a home is one of the successful real estate businesses. In City like Bangalore, several people construct houses for earning rent. A landlord would earn better income if he or she built a house suitable for giving rent.

If you are a landlord and wants to rent your home, here are some guidelines to choose tenant for your property.

Screen your tenant : Let your property after screening tenant and never rent your property to person having criminal background. For screening your tenant, ask for proof of identity such as their copy driving license, letter from employer, credit history etc. You can ask any references or previous landlord’s contact detail.

Rental agreement : Make a rental agreement in written where you and tenant need to sign them. Rental agreement must contains all details such as amount received as deposit, monthly rental, period of rental agreement and condition or property or appliance such as detail of number of fan, lighting and fixtures and other appliances provided. Copy of rental agreement should be handover to tenant.

Allow tenant privacy : Landlord must not interfere in tenant’s matters that generally annoy them. Allow them to enjoy their own privacy in rented property and let your tenant notice when you access to the property.

Realtor or agent : If you are hiring a realtor or agent, specify the terms and condition, type of tenant you are looking for like renting property as PG, only for family, for Men or women etc. This helps your agent to search prospective tenant for your property.

Fair Rent : Rent for your property should be fair rate and current market rate. To fix rent for your property, make research in market and discuss with realtors in your neighborhood. Fair and cheap rate attracts most of tenant and help you to get good income from your property.

Repair and Maintenance : The building need to be repaired and maintained at regular interval. Offer your tenant a descent living by repairing and maintaining your property in prompt time. Prompt repair and maintenance help to build good and friendly relation with your tenant.

Secured Deposit : Landlord accepts deposits for ensuring reimburse on loss or damage caused by tenant. Landlord should return the security deposit and give in written details of deduction if any. It will be simple if you setup a fair system of collecting, and returning the deposits.

Cleanliness : Provide proper waste management for your house and its surrounding. Ask your tenant to dispose waste or method you adopt for handling wastes to garbage collectors. Keep your property and its surrounding clean.

Insure your property : Insure your property and ensure you get best from insuring your property against fire, theft, and damage made by tenant or from other natural calamities.

Right and Duties : Know your rights and duties as a landlord and explain the rights and duties of tenant. Remember to settle disputes without lawyers and lawsuits. If required consider neutral third party for resolving the disputes.

Thursday, 4 April 2013

Sufficient land left in Arkavathy Layout: BDA

The Bangalore Development Authority (BDA) has claimed that it has sufficient land left in the Arkavathy Layout to hand over sites to all the 8,813 allottees.

BDA Commissioner T Sham Bhat said BDA is not denotifying any land in Arkavathy Layout. But we are leaving 285 acres of land that falls under the six parameters that are mentioned by the Supreme Court while delivering its judgment on acquiring the land for the layout.

“We will have sufficient land to give sites to all allottees and form some civic amenities sites even after leaving 285 acres of land and giving sites that we are supposed to give to the land owners (who gave up their lands for the layout),” the commissioner said.

The six parameters that the Supreme Court has directed the BDA to consider while acquiring the land for the layout are - the lands that fall within the green belt area, the lands that are surrounded by fully built-up area, lands belonging to charitable, educational and religious institutions, the lands that are used as nurseries, lands on which factories are established and lands similar to the lands that are denotified earlier.

Arkavathy Layout Allottees Association President G Shivaprakash said “many times, the BDA has gone back on its promises and has lost its credibility. According to the information that we have received, the BDA will find it difficult to hand over sites to all the allottees if it follows all the bylaws. Therefore, we have filed 95 writ of mandamus petitions before the High Court seeking the court’s intervention and they are pending for admission. We will not trust the BDA until it hands over our sites to us.”

The State government had notified 2,750 acres of land to form Arkavathy Layout to allot 20,000 sites to the aspiring applicants in 2003. The BDA had invited applications for sites and allotted 8,813 sites in 2004.

The land owners, who opposed acquisition, approached courts challenging the process by the BDA.

The subsequent governments denotified around 1,000 acres of the land. Despite Supreme Court passing its verdict in favour of the acquisition with certain riders in favour of the land owners, the land owners did not agree to part with their lands. Therefore, the BDA held discussions with them and agreed to give 40 per cent of the developed land to them as compensation for the lands that would be acquired for the layout. Due to these reasons, the BDA has just about enough land to hand over sites to the allottees in the layout.

The BDA is left with around 1,100 acres of land after leaving 285 acres. The BDA has to form the layout and allot sites to all allottees after giving 40 per cent of the developed land to the allottees.

BDA sites in limbo

At least 57 plots developed by the BDA are in a limbo as their titles have allegedly been snatched from the owners in Sir M Visvesvaraya Layout, western Bangalore.

The BDA denotified a 10-acre plot of land and conferred the ownership on two individuals. The land is described as “muffet kaval” (free forest land, but something akin to grazing land), meaning government owned. But the denotification ended up vesting the ownership with the two individuals.

BDA sources said the denotification committee of the BDA board had rejected the application for denotification of the land in 2006, stating that it was required for the layout.

The BDA allegedly kept the site owners in the dark about the fate of their titles. Five of the affected site owners have now approached the Karnataka High Court. They say they were sold the plots during 2003-05. After this, the BDA demanded, and received, tax from most owners.

The site owners then heard rumours that attempts were being made to sell their sites. A couple of them, posing as prospective buyers, contacted brokers operating in the area. They were taken to their own sites and told a 50x80 site would cost no less than Rs 1 crore.

In February, a site owner filed RTI applications with the BDA. Documents obtained a few days ago revealed that the BDA had denotified 7 acres in favour of KV Nagarathnamma on June 20, 2006, and 3 acres in favour of Purohit Jugaraj in September 2007.

The Karnataka high court has issued notices to the government, BDA and the two beneficiaries of the land denotification.

Single Window System for Clearance for Real Estate Projects Soon

“Housing Start-up Index” to be formulated by Housing Ministry in collaboration With RBI

Ajay Maken, Union Minister for Housing and Urban Poverty Alleviation informed that the Government had sanctioned projects worth Rs 41723 crores for building of 15,69,000 houses/dwelling units for Economically Weaker/Lower Income Group sections under the Ministry’s flagship JnNURM (BSUP and ISHDP) programmes.

Mr Maken said approximately 10 lakh houses were either ready or under various stages of completion. Similarly under the Pilot phase of Rajiv Awas Yojana (RAY), in the 195 identified beneficiaries cities Rs 100 crores had been released for undertaking the finalisation of slum free city plans. 40 Projects worth Rs 1769 crores for construction of 32517 dwelling units in 33 cities had been sanctioned till the 10th March 2013, Mr Maken informed.

Informing about the Swarna Jayanti Shahari Rozgar Yojana (SJSRY) of the Ministry, Maken apprised that during the XI Five Year Plan, a total expenditure of 2691 crores was made, 27.37 lakhs of beneficiaries had been provided Skill Training and 12.76 lakh of individuals were assisted for self-employment and also 6.29 lakh women beneficiaries were assisted for setting up of Group Enterprises. For the year 2012-13, as on 22nd March 2013, Rs 685.62 crores have been released to States and so far 3.23 lakhs of beneficiaries have been provided Skill Training and 53329 individuals were assisted for self-employment and also 29107 women beneficiaries were assisted for setting up of Group Enterprises.

Elaborating further the Minister said that in order to have a mission mode approach to Urban Livelihood, the Ministry will launch a National Urban Livelihood Mission (NULM) during 2013-14, which will replace the existing SJSRY. Two new Schemes namely, Support to Urban Street Vendors and Shelter for Urban Homeless has incorporated in NULM. The targets for Skill Training under NULM will be 4.0 million during the XII Plan period. It is also proposed to construct 1600 shelters for urban homeless during the XII Plan period. As far as 2013-14 is concerned, it is proposed to provide skill training to 4 lakh urban poor beneficiaries and to construct 200 shelters for urban homeless.

Maken informed that Ministry had set up a Committee under the Chairmanship of Shri Dhanendra Kumar for ‘’Streamlining Approval Procedures for Real Estate Projects’’ (SAPREP). The Committee had since submitted its Report and the Ministry was in the process of formulating a single window system for clearance of Real Estate Projects throughout the country, which was expected to bring down average approval time from 196 days to 45-60 days. Apart from other things, the process involved developing of Single Composite Application Form (CAF) which entailed seeking and getting permissions from the Municipal/State Governments/Central Government agencies simultaneously. The Ministry will incorporate the recommendation of the SAPREP Committee as one of the mandatory reforms to be carried out by the States, if they were to avail the funds under Rajiv Awas Yojana.

The Ministry had recently set a Credit Risk Guarantee Fund Trust (CRGFT), alongwith the National Housing Bank, HUDCO, Financial Institutions and Banks. It was expected to mobilise Credit worth about Rs 60000 crores to fund housing in the EWS and LIG sector. All these coupled with ECB and 3% priority sector lending is expected to significantly bridge the gap in the area of shelter and housing.

On the new initiatives of the Ministry, Mr Maken said that the Ministry had decided to frame and formulate a Slum Upgradation Index for monitoring periodically the upgradation of slums in the country. This index will reflect the trend in the growth of slums and their characteristics for a period of time. In this direction, the Ministry has decided to set up a High Power Committee to suggest methodology for developing the slum Index in India and report will be submitted within 3 months. He further stated that Rajiv Awaas Yojana benefits will also be extended to unidentified as well as non notified slums.

Speaking about the Urban Housing Fund, recently declared by the Finance Minister in his Budget Speech. Mr Maken informed that a separate fund of Rs 2000 crores, to be administered by the National Housing Bank had been envisaged to support financing and credit to affordable housing sector. With an aim of benefitting the Economically Weaker and Lower Income Group segments which were not benefitting under the current priority sector lending limit of Rs 25 lakhs, the Ministry had decided to limit the loan amount to Rs 8 lakhs and the cost of dwelling units to Rs 12/15 lakhs.

Maken also announced the formulation of ‘Housing Start Up Index’ (HSUI) by his ministry shortly in collaboration with Reserve Bank of India. He said that internationally, only 6 countries namely Canada, United States, Japan, France, Australia and New Zealand are compiling data related to building permits/housing starts on a regular basis.

The Index will serve as a tool/measure to reflect the change in housing sector and related industries vis a vis the entire economy. The number of housing starts during a given period reflects the institutional response to the existing number of building permits, besides the current demand for houses. Accordingly, Housing starts is considered to be a lead economic indicator because of its Forward-Backward linkages with more than 270 industries.

Considering the importance of HSUI, Shri Maken said that it was felt necessary to develop the Index which can be used as a tool to monitor the movements in housing and related sectors of the Indian economy on a regular basis. Giving the progress made so far in this direction, Shri Maken stated that the Pilot HSUI is likely to be released jointly by ministry of HUPA and RBI shortly.

With a view to protect the rights of urban street vendors and to regulate street vending activities, Maken said that the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Bill, 2012 has been introduced in Lok Sabha on 6th September 2012. The Standing Committee has since submitted its Report and the Ministry was in the process of taking a much more vendor friendly Bill to the Cabinet at the earliest.

The Minister further stated that in order to provide a uniform regulatory environment to enforce disclosure, fair practice and accountability norms and fast track dispute resolution mechanism in real estate transactions, the Ministry of Housing and Urban Poverty Alleviation had drafted a Bill titled ‘Real Estate (Regulation & Development) Bill 2012 in consultation with all stakeholders.

Provisions for dispute resolution mechanism have been brought out in the said Bill. It was expected to be brought up for the consideration of Cabinet soon before being introduced in the Parliament.

KHB to Develop New Layout Jigani at a Cost of Rs 3,000 crore

The Karnataka Housing Board (KHB) will develop a new layout called Swami Vivekananda Nagar near Jigani at a cost of Rs 3,000 crore to allot 50,000 sites and houses.

The Cabinet has approved the proposal and we will acquire around 2,500 acres of land for the

Minister for Housing V Somanna said “We are spending Rs 450 crore to provide drinking water for the proposed layout. We are also planning to acquire 400 acres of land near Devanahalli for allotting houses to the applicants. We are planning to complete both the projects at the earliest.”

When asked about the land acquisition problems that have been plaguing the five layouts that were supposed to be developed around the city, Somanna said, “The KHB is planning to purchase the land directly from the land owners at the market price. It will be fixed by the local DCs.”

The KHB has 23 ongoing projects at different places in the State and has invited applications for allotment of 296 houses at Sir M V Layout, 808 houses both near Kengeri, 384 houses in Suryanagar and 832 houses at KHB Green Park in Gulbarga. It has constructed 1, 2 and 3 BHK houses in these areas.

Wednesday, 3 April 2013

Guide to Buying a Property in Bangalore from a Legal Perspective


Once you decide to buy your dream house or any commercial property, there are many documents you need to look into thoroughly before closing the deal. If you ignore this, you may be in for an enduring trouble.

People in the real estate business narrate many such stories from their vast experience. However, they also add that after the technological improvements brought about by successive governments in the registration process (the encumbrance certificate will have the photographs and thumb impressions of the sellers and the buyers each time the property changes hands), such experiences are on the ebb. Yet, some gullible persons could fall prey to the machinations of others, they point out.

If you are the kind of person who hates to encounter unsavoury incidents and loves to lead a peaceful life, the advice from experts is to verify or scrutinise documents in the initial stages itself.

It is always advisable that property buyers must insist on seeing the original documents of the house before making the advance payment. It is prudent on your part to make a huge advance payment only when you are satisfied with the authenticity of the documents. Once you make a hefty payment while signing the sale agreement and later encounter problems, you and your family may feel insecure till you get back the amount.

Eventually, he will return your money. Suppose, if he returns that money in instalments, then your plans of buying another property will go awry. Hence, ensure that all the documents are in order.

  • Verify/scrutinise documents in the initial stages itself
  • Pay advance only after seeing the original documents.
  • Have them scrutinised by an advocate.
  • Always ensure that you are dealing with the right owner.
  • Have all the members of family of the owner present during registration.
  • Have a peace of mind to enjoy your property.

The improving infrastructure, the leading IT hub and the commercial advancements in Bangalore have made it witness a real boost in the real estate sector. The strategic location and the developing road map have seen a clear rise in the demand of purchase, selling and reselling of properties time and again. This adds to the complexity of the matter as you have to doubly ensure that you are not investing your lifetime savings into a fraudulent property.

To prevent yourself from getting duped you can always take the help of a professionally qualified solicitor to get all your legal paperwork verified. For this reason, if you are planning to buy a property in Bangalore then refer to the below mentioned checklist, which should definitely come handy so that you can acquire a clear title. The paperwork required for authentication of the title varies from property to property and the region it falls in. The checklist needs to be verified before purchasing any property. Do not forget that the original documents of title like sale deed, partition deed, gift deed and will etc., are to be verified on a mandatory basis.

Purchasing a Flat/an Apartment in Bangalore

As the real estate market in Bangalore has become all the more dynamic due to the purchase, sale and resale of flats/apartments, it becomes all the more crucial for the buyer to handle the entire procedure very carefully. If you aspire to own a flat or an apartment in Bangalore and wondering where to start from then have a look at the following checklist and the information you must possess from the developer/promoter before you seal the purchase.

I. Purchasing a Residential Flat/Apartments:

Mother deed/ Sale deed: This is the most important document for tracing the ownership of the land. It gives details of the property as to how it was acquired at the initial stage and the subsequent series of transactions it has undergone. You should also check for the original sale agreement showing the builder/developer duly registered.

Khata certificate & up-to-date tax paid receipts: In case of a joint venture, the Khata should be in the landowner’s name. If you purchase the property directly from the developer the Khata should be in the name of the developer/promoter.

Joint Development Agreement: The agreement should be examined thoroughly if it’s a joint development. You must clearly understand the ratio at which the build-up area is divided between the promoter and the landowner.

Encumbrance Certificate: A latest Encumbrance certificate having the details of last 30 years should be checked. It can be obtained from the sub registrar.

Approved Plan: Check for a copy of the approved building plan by the respective government authority and also for the portion of the apartment being purchased.

Sanction Plan: Verify whether the building plan of the apartment is sanctioned and also check the validity of the sanction plan. You must also check the commencement certificate and take a confirmation from the Municipal authorities if the building adheres to the norms of the laws.

NOCs: You should obtain NOCs under the provisions of Income-Tax Act and Urban Land Ceiling and Regulation Act if required.

Occupancy certificate: This is issued to the developer by the apartment corporation/BDA/CMC. A buyer should insist for this.

Besides the above steps to be followed you should also ensure that the developer has obtained approvals from the Municipal Corporation, Electricity Boards, Area Development Authorities and Water Supply and Sewage Boards. It is advisable for the apartment owners to file a joint declaration under Karnataka Apartment Ownership Act, 1972, get duly registered and attain the rights and legal safeguards.

II. Purchasing a Commercial Flat:

Purchasing a flat in Bangalore for commercial purpose also includes more or less the same steps as in the case of a residential flat like deeds for absolute sale and conveyance. These offer a record for absolute and exclusive property rights of the commercial flat, confirms the usage rights, amenities and infrastructure.

Karnataka Ownership Flats (Regulations of the Promotion of Construction, Sale, Management and Transfer) Act, 1962 governs all the matters related to both residential and commercial flats.

Purchase of agricultural land in Bangalore

If you intend to purchase any agricultural land in Bangalore for non agricultural purpose then you must have the approval as per the provisions and rules under Karnataka Land Reforms Act (1961) and the Karnataka Land Revenue Act of 1964. The regulating authority for approving any layouts on the outskirts on Bangalore rests with the Bangalore Metropolitan Regional development Authority or BMRDA.

Before investing in any agricultural land you must adhere to the checklist which follows:

Mother deed/ Sale deed: This is the most important document for tracing the ownership of the land. It gives details of the property as to how it was acquired at the initial stage and the subsequent series of transactions it has undergone.

Search Report: It provides details of the original property holder, property history, charges on the property, current property status (all dues paid or still pending) and the number of times the property has changed hands before being owned by the present seller. Your advocate will fetch you all these details and confirm whether it is a legitimate property for sale or not.

Agreement: Once the property is decided, make an advance payment and get a written agreement on a stamp paper duly signed by both the owner and the buyer in the presence of two witnesses. An agreement must state: the advance paid, actual price, duration of actual sale, and legal actions to be taken in case of a default from either party.

Stamp Duty: This should be paid in full and on a timely basis. To get an agreement stamped it should be without any signature or date and the agreement can be implemented only when the Stamp Office fixes stamps on it.

Registration: Get the deed registration done in a sub registrar office within the timeframe mentioned in the agreement. For registering a property you need: house tax/property receipts, original title deed, and previous deeds etc., two witnesses are also required at the time of registration.

Apart from the above measures to be followed you should also get hold of an Akarbandi, an Encumberance certificate, Saguvali chit, Conversion order, Payment Challan, Up-to-date Tax-paid receipts, Land Acquisition Status, Mutation Extracts, NIL Tenancy\ Certificate/ Form No. 7 Endorsement, Podi Extracts, RTC (Record of Rights)/ Phani, Section 79A & B endorsement U/KLR Act, 1961, Patta Book, and Tippani. You should also have the family tree of the vendor, the comprehensive development plan or CDP and a Zonal recognition map to aid you. Another important thing to be remembered is that the property should not be located in the Green Belt Area.

Purchasing Revenue Land in Bangalore

Purchase of Converted Revenue Lands requires the following documents- Conversion Order from the Deputy Commissioner, receipt for the paid conversion amount, RTCs for last 30 years issued by the village accountant, documents of ownership, Mutation Register Extracts, Akarbandi/Tippani/Podi Extracts, Tax paid receipts, boundary map, village map, Nil tenancy certificate, approved layout plan, Khata certificate issued by Revenue authority, Encumbrance certificate, Zonal regulation map, power of attorney (if any) and an evidence from the respective authority that no acquisition proceedings exist.

Purchasing BDA (Bangalore Development Authority) Sites

The various documents necessary for purchasing a BDA property are- allotment letter, receipts of payment for the site, possession certificate, absolute sale deed, khata certificate from BDA, khata certificate (to be obtained from Bangalore Mahanagar Palika if the property falls under the corporation revenue jurisdiction), up-to-date income tax paid receipts, tax paid receipts from Bangalore Mahanagar Palika, Encumbrance certificate (from allotment till possession date) and a re-allotment letter or re-conveyance deed in case the property is re-conveyed by the BDA.

It is highly suggested that acquiring a property through Power of Attorney should be avoided to prevent any litigation in the future. Documentation is the major step in the acquisition of an immovable property of any kind so utmost care should be taken while carrying out all the paperwork. All the agreements should be stamped according to Karnataka Stamp Act, 1957 following all the rules therein.

Tuesday, 2 April 2013

Bangalore facing shortage of drinking water

Reviving of lakes, water bodies and rainwater harvesting will ease water problem in City

Several residential areas in Bangalore, particularly located on the outskirts, are facing severe water problem in this summer season. The reason is shrinkage in the availability of water at KRS dam in Mysore and erratic monsoon.

Increase in the number of residential layouts and commercial activities and industry contributed to the hike in demand for Cauvery water in Bangalore. More than 50 urban centres in the old Mysore region are depending on the Cauvery water.

There was the time when Bangalore was free of tall multi-storied apartments, and people lived in independent houses, large or small. Bangalore was free of air-conditioned malls and multiplexes, but shopping and entertainment options were still plentiful. Bangalore was free of its Information Technology tag, but was still a reasonably significant industrial manufacturing hub. With its tree-lined roads, large open spaces and now abundant Cauvery water, Bangalore was really the Pensioner's Paradise, where retired folks could live without any worries.

This was also the time when we watered plants and washed our cycles with buckets and mugs of water and not hoses; we bathed with buckets and mugs of water and not showers or in bath tubs. Still, we enjoyed having ponds of fish and frogs in our gardens without the extravagance of fountains and waterfalls. Many houses had wells that were brimming with water even in the summers. Yet there had been an imminent lurking water problem, giving way for Cauvery water.

Cauvery Water in Bangalore was the first big step taken by the State Government to meet the growing water needs of the city, something that was anticipated several years earlier, after many of the lakes that were sources of drinking water, had been developed to accommodate infrastructure projects.

According to a research paper from the Dept of Geology Bangalore University, there were 3000 lakes in 1930. And in 1950 it reduced to 484 lakes. Now only 184 lakes remain, said N.S. Mukunda, Citizens Action Forum (CAF) in a paper published in the Website.

In 1958, an Expert Committee had been formed to investigate the problems and suggest measures that would meet the long-term water needs of the city. At that time, the Expert Committee considered four possible options: development of the Arkavathi River downstream of TG Halli reservoir, Hemavathy River, Shimsha River and Cauvery River. They recommended going with the Cauvery. At an estimated cost of Rs 22 crores, the Cauvery Stage I Project commenced in 1969 and took about five years to complete. On 24th January 1974, Bangalore received its first taste of the Cauvery water.

Subsequently, with the ever growing needs of the city, Cauvery Stages II, III and now IV have been implemented by various state governments but there seems to be no end in sight. The cities boundaries have been stretched on all sides, and with it, the water problem has reached the stage of a crisis.

Bringing Cauvery water to Bangalore over 100 km is expensive. According to Kemaramayya, BWSSB Engineer, Cauvery water is pumped to Bangalore in three stages of 500 feet each, with associated costs of pumping 900 MLD for a month (as of 2012) being Rs 300 crore. Cauvery water does not reach much of the city, and for those who do receive it, rationing to a couple of days in a week is now a way of life. Wells and borewells are going dry and dependence on water brought in tankers from far-away places is quite prevalent.

Towards a permanent solution to Bangalore's water problems an expert committee was established in 2012 headed by Tyagarajan. Several proposals have been placed before the committee for consideration, including a comprehensive solution by Citizens Action Forum (CAF), that will help in augmenting the city's water

CAFs Proposal:

Revive Arkavathi River and Hesarghatta Lake - The old source from Arkavathi-Hesarghatta which was supplying 165 MLD has to be revived. This revival can be achieved in 5 years and results will start from the third year onwards.

Revive, rejuvenate and interconnect all the existing 184 lakes - Conservation of the 184 lakes and the interconnection of these lakes are issues of urgent attention. The rejuvenated lakes will improve the ground water level in Bangalore and the borewells in the range of 80 to 180 feet that have gone dry will spring to life. This measure will ensure a supply of 500 MLD per day to the city.

City wide rain water harvesting - Rain water harvesting is now mandated for 40x60 sites and all new residential constructions. Considering the 56000 40x60 sites, at 750 mm of rain, with 100% collection will give 9072 MLD annually. Daily requirement is 1450 MLD. So it meets the requirement for just 6.25 days or 1.71% of annual requirement. So RWH should be done in all public (government buildings and 1400 parks in Bangalore.

Monday, 1 April 2013

Bangalore north is hot spot for retailers

In the past few years, Bangalore’s retail journey has been growing with several international and national brands setting up their retail stores in the City.

Robust economy, rising per capita income, development of IT sector, migration of middle class earning families, and large scale retail development have fuelled the growth of the Silicon Valley of India.

Previously, shopping malls across the city were essentially anchored around a department store or more often a hyper/super-market area chain however; this is project to change soon, according to a report “Bangalore: Retail Real Estate Market Report 2013 brought out by Vestian Global Workplace Services, a fully owned subsidiary of Vestian.

High-street locations 

With the spatial expansion of Bangalore, the high-street locations are no longer confined to the Central Business District (CBD) area. High-street locations of Brigade Road and Commercial Street have been in existence since 1950s are located in close proximity to the CBD.

Now, Bangalore North witnessing increased retail activities. Bangalore North include Kamanahalli Main Raod, Sahakarnagar while Marenhalli Road (JP Nagar – Outer Ring Road stretch) towards south-west of the City is gaining prominence as a result of high-street mainly due to limited shopping mall space in the vicinity.

Despite commercial activity in Bangalore North being nascent stage, this region has witnessed increased residential supply. Shift in the developers’ interest towards this location has made way for many planned retail projects. Key developers including Brigade Group, MFAR Holdings, Century Group and Ozone Group have planned shopping malls in the north region.

One of the key finding of the report is that ORR-Sarjapur will be the most attractive micro market for retail development due to lack of existing and under construction mall space.  Meanwhile, Bangalore North and Old Madras Road have potential for development of malls within next 3-5 years.  Old Madras Road, of late has witnessed increased residential activity with major Class A developers launching their residential projects.
 Currently, not many retail activities across this micro-market is anticipated to gain momentum in the medium to long-term. Salapuria Sattva Group is set to launch the World Market (1.0 million sqft) in this location. The report said the city is likely to witness a hike in mall rentals owing primarily to a healthy increase in the metropolitan population and anticipated relaxation in FDI in multi-brand retail.

Tenants’ preference

Noting high demand for space in high street locations, it said these locations are preferred mainly by apparel and footwear tenants (54%), followed by food and beverages (16%), electronic goods (9%), personal  care, watches and jewellery (7%) and books, stationery and gifts (4) and automobiles (3%).

Rental value

During 2009-12, rental values across high-street locations of the city grew annually in the range of 5-9 per cent mainly due to limited upcoming supply and lower vacancy rates. Average annual rental appreciation in high street location in Brigade Road is 9 per cent, Commercial Street – 9 per cent, Lavelle Road and Vittal Mallya Road – 6 per cent and Indirangar 100 feet Road – 5 per cent, the report said.

The City’s high- street locations continue to attract national and global retail brands regardless of increased mall space in the city due to higher brand visibility and considerable footfalls. However, traffic congestion, lack of unobstructed pedestrian walkways and limited parking space facilities are some of the basic concerns that require improvement, the report said.