Real estate regulator to start functioning by 2008 in Delhi

Real estate regulator to start functioning by 2008 in Delhi

New Delhi: Property buyers in Delhi, who were so far left at the mercy of developers and real estate agents, can heave a sigh of relief as the government on Wednesday announced a regulator for the sector will be set up by 2008.

“The regulator will start functioning from 2008, to whom builders and buyers can approach and get their grievances addressed. It will be for Delhi and will be a model for other states," Union Minister for Urban Development Jaipal Reddy said at seminar organised by industry body Assocham on Wednesday.

The government would bring a bill on real estate sector in the next Parliament session, he said, adding that the name of bill has not been finalised.

He also said that with the implementation of Jawaharlal Nehru National Urban Renewal Mission (JNNURM), a large amount of funds have been made available for creating infrastructure in urban areas across the country.

The government was contemplating to raise Rs1,00,000 crore for urbanising the 63 mission cities, but the need is Rs3.5 lakh crore.

“If we go by the needs projected by the plans of the 63 mission cities, we require Rs3,50,000 crore. Whereas, union government, state governments and urban local bodies are contemplating to raise only Rs1,00,000 crore," he said.

The minister said that for the remaining amount, “we would also like to leverage the money available in the private sector."

On slum dwellers in Delhi, Reddy said they will be provided with multi-storeyed apartments.

“The developers have to fulfil some societal obligations such as giving 15% FAR (Floor Area Ratio) to government for distribution to people belonging to economically weaker sections," he said.