Mail Today’s feature, Realtor’s Forum, recently published an article on Square Yards CEO and Founder Tanuj Shori on the conversion process of leasehold properties in Noida. The local authorities have initiated a discussion on the process for the same. Tanuj Shori expressed that the conversion has been a long-standing demand of the buyers since freehold property relaxes the power of the government on the property considerably. Besides, it also ensures flexibility to the buyers for making structural changes which, however, may lead to haphazard development of the city as is seen in some of the other cities where there are mostly freehold properties.
Following Noida Authority’s decision to send a proposal for conversion of all leasehold property in the city to freehold, officials were of the opinion that the modalities of conversion would be exactly what it is in Delhi Development Authority. In Delhi, both online and offline process for conversion are offered by DDA. The applicant needs to fill the form and attach his/her lease agreement and an affidavit. The applicant is supposed to declare that no dues are pending. The application is then examined by the DDA and the process is executed. Thereafter, the applicant has to visit the stamps and registration department to complete the formalities of registration for a freehold property. The conversion from leasehold to freehold may take 45 days.
Satish Gaur, Noida’s chief architect-planner, stated that although the Noida board had approved the conversion, the final decision would be taken by the state government. Ernst & Young, principal consultant to Noida Authority, has also submitted a report on the impact if the residential properties are mutated to freehold. Pankaj Bajaj, president, CREDAI NCR, affirmed that property markets had demonstrated a slow pace in the past few years. In an official statement, he stated that conversion to freehold is undoubtedly a sentiment booster. Simultaneously, it is also being hoped that this should not lead to unbridled construction on freehold property, especially the small plots in residential sectors. he further added that excess construction can result in infrastructure overload and chaos, as has been previously seen in Delhi and Ghaziabad.
It is also interesting to note that a few Noida-baed architects felt that freehold property will lead to population increase. According to Atul Gupta, Architects Association Noida Zone, there is already quite a bit of pressure on Noida in terms of services, roads, parking, etc. the freehold will have a further impact on population, besides affecting basic municipal services.
Square Yards is a technology-enabled, global real estate aggregator and India’s largest player for primary residential real estate. It’s subsidiary Square Capital is one of the largest marketplace for secured mortgages in India. Square Yards platform offers an integrated consumer experience & covers the full real-estate journey from search, discovery to research, transactions, home loans and post-sales service – fully integrating buyers to an extensive network of 500+ partner real estate developers, and 90+ banks & NBFCs. Square Yards is led by accomplished professionals, ex-bankers, and Ivy school alumni and is backed by the competence of more than 2500 employees in 30 cities and ten countries.