REALESTATE POLICIES - DELHI

cONTENTS

· INTRODUCTION

· THE PRESENT REAL ESTATE SCENARIO

· THE LAND RULES

1. REGISTRATION ACT, 1908

2. The Delhi Land Reforms Act, 1954

3. THE DELHI DEVELOPMENT ACT 1957

4. The Delhi Rent Control Act, 1958

5. THE DELHI LAND HOLDINGS (CEILING) ACT, 1960

6. THE DELHI LANDS (RESTRICTIONS ON TRANSFER) ACT, 1972

7. THE DELHI URBAN ART COMMISSION ACT, 1973

8. The Delhi Apartment Ownership Act, 1986

9. THE NATIONAL CAPITAL TERRITORY OF DELHI LAWS,2009

· INTRODUCTION

Delhi is also known as the National Capital Territory of Delhi (NCT), is the second-largest metropolis in India. With over 17.3 million residents, it is the sixth largest metropolis in the world by population.

It is the site of many ancient and medieval monuments, archaeological sites and remains. In 1639, Mughal emperor Shahjahan built a new walled city in Delhi which served as the capital of the Mughal Empire from 1649 to 1857. Some of the World renowned historical sites of Delhi include The Red Fort, Qutab Minar & India Gate.

New Delhi houses important offices of the federal government, including the Parliament of India, Rashtrapati Bhavan (Presidential House) & The Supreme Court of India.
The National Capital Territory of Delhi is spread over an area of 1,484 sq. km. Delhi has a maximum length of 51.9 km and the maximum width of 48.48 km.

It borders the Indian states of Uttar Pradesh on East and Haryana on West, North and South.
Extreme temperatures range from −0.6 °C (30.9 °F) to 48 °C (118 °F).[

Public transport in Delhi is provided by buses, auto rickshaws and a Metro rail system.

A diplomatic hub, home to the embassies of 160 countries, Delhi has a large expatriate population. Hindi is the principal spoken and written language of the city. Other languages commonly spoken in the city are English, Punjabi and Urdu. Of these, English is an associate official language, and Punjabi and Urdu second official languages.

· REAL ESTATE SCENARIO IN DELHI

Delhi Property in India has seen a steep and fast paced growth over the last few years. Delhi Real Estate and the surrounding satellite cities of Noida and Gurgaon, have become a major attraction for both builders and investors.

The capital city has an impressive infrastructure to boast of, with an International airport, arrival of Metro rail, plenty of five star hotels, and world class luxury standards of residential and commercial properties. Moreover, due to the advent of many multinational companies setting up their offices and commercial establishments in Delhi and the NCR it has become a lucrative deal to invest in Delhi Residential Property, Noida Property and Gurgaon Property.

Demand for properties in Delhi and the NCR has increased due to the easy availability of home loans in India. Investment in Delhi and in the NCR has become a major attraction for foreign investors, NRI’s and multinational companies. Thus the face of the real estate market in the city is changing too fast.

· REGISTRATION ACT, 1908

The main purpose for which the Act was designed was to ensure information about all deals concerning land so that correct land records could be maintained. The Act is used for proper recording of transactions relating to other immovable property also.

The Act provides for registration of other documents also, which can give these documents more authenticity. Registering authorities have been provided in all the districts for this purpose.

· The Delhi Land Reforms Act, 1954

(Act No.8 of 1954)

[20th July, 1954]

· Introduction

An Act to provide for modification of zamindari system so as to create an uniform body of present proprietors without intermediaries, for the unification of the Punjab and Agra systems of tenancy laws in force in the State of Delhi and to make provision for other matters connected therewith.

· Comments

As from the date of declaration of Bhumidhari rights the person in whose favour the Bhumidhar rights are granted becomes a new tenure holder enjoying all the rights conferred under the Act and subject to all the liabilities imposed by the Act.

The interest in land conferred upon a Bhumidari is not proprietory right which has been abolished but a new right declared under the Act. They are thus special rights created under the Act. Any incidence attached to the right before the commencement of the Act could not be added to the new rights conferred under the Act.

· THE DELHI DEVELOPMENT ACT 1957

[61 of 1957, dated 27.12.1957]

· Introduction

An Act to provide for the Development of Delhi according to plan and for matters ancillary thereto.

To be enacted by Parliament in the Eighth year of the Republic of India.

· Short title, extent and commencement

(1) As soon as may be after the commencement of this Act, the Central Government shall, by notification in the Official Gazette, constitute for the purposes of this Act an authority to be called the Delhi Development Authority (hereinafter referred to as the Authority).

(2) The Authority shall be a body corporate by the name aforesaid having perpetual succession and a common seal with power to acquire, hold and dispose of property, both movable and immovable and to contract and shall by the said name sue and be sued.

The main outcome was the commencement of a new civic body named the DELHI DEVELOPMENT AUTHORITY.

1. Objectives

• The objects of the Authority shall be to promote and secure the development of Delhi according to plan and for that purpose the Authority shall have the power to acquire, hold, manage and dispose of land and other property, to carry out building, engineering, mining and other operations, to execute works in connection with supply of water and electricity, disposal of sewage and other services and amenities and generally to do anything necessary or expedient for purposes of such development and for purposes incidental thereto.

· The Delhi Rent Control Act, 1958

(59 of 1958)

[31st December, 1958]

An Act to provide for the control of rents and evictions and of rates of hotels and lodging houses, and for the lease of vacant premises to Government, in certain areas in the Union territory of Delhi.

Be it enacted by Parliament in the Ninth Year of the Republic of India as follows:-

· Introduction

Most of the persons living in urban areas are somehow directly or indirectly affected by the law of rent control which is provincial in nature and it differs from State to State, The law which was applicable to Delhi was Delhi and Ajmer Rent Control Act, 1952 (38 of 1952). During the course of its applicability many difficulties were being faced and it was considered necessary to enact a comprehensive law for Delhi. In order to achieve this objective the Delhi Rent Control Bill was introduced in the Parliament.

· Act 59 of 1958

The Delhi Rent Control Bill having been passed by both the Houses of Parliament received the assent of the President on 31st December, 1958. It came into force on 9th February, 1959 as THE DELHI RENT CONTROL ACT, 1958 (59 of 1958).

· List of Amending Acts

1. The Repealing and Amending Act, 1960 (58 of 1960).

2. The Delhi Rent Control (Amendment) Act, 1963 (4 of 1963).

3. The Delhi Rent Control (Amendment) Act, 1976 (18 of 1976).

4. The Delhi Rent Control (Amendment) Act, 1984 (37 of 1984).

5. The Delhi Rent Control (Amendment) Act, 1988 (57 of 1988).

……The Delhi Rent Act, 1995

· THE DELHI LAND HOLDINGS (CEILING) ACT, 1960

· Introduction

• An Act to provide for the imposition of a ceiling on land holdings in the Union territory of Delhi and for matters connected therewith.
  
  To be enacted by Parliament in the Eleventh Year of the Republic of India.
  
  Short title extent and commencement.

(1) This Act may be called the Delhi Land Holdings (Ceiling) Act, 1960.

(2) It extends to the whole of the Union territory of Delhi, but shall not apply to-

· (a) the areas which, immediately before the 1st day of November, 1956, were included in a municipality or in a notified area under the provisions of the Punjab Municipal Act.1911 (Punjab Act 3 of 1911), or in a cantonment under the provisions of the Cantonments Act, 1924 (2 of 1924);

(b) the areas owned by the Central Government or any local authority; and

(c) the areas held and occupied for a public purpose or for a work of public utility and declared as such by the Chief Commissioner or the areas acquired under any enactment relating to the acquisition of land for a public purpose.

· THE DELHI LANDS (RESTRICTIONS ON TRANSFER) ACT, 1972

(ACT NO. 30 OF 1972)

[13th December, 1954]

· Introduction

An Act to impose certain restrictions on transfer on transfer of lands which have been acquired by the Central Government or in respect of which acquisition proceedings have been initiated by that Government, with a view to prevention large-scale transactions of purported transfers or, as the case may be, transfers of such lands to unwary public.

To be enacted by Parliament in the Twenty-third Year of the Republic of India as follows:

· Short title, extent and commencement –

(1)This Act may be called the Delhi Land (Restrictions on Transfer) Act, 1972.

(2)It extends to the whole of the Union territory of Delhi.

(3)It shall come into force at once.

Prohibition on transfer of lands acquired by Central Government

No person shall purport to transfer by sale, mortgage, gift, lease or otherwise any land or part thereof situated in the Union territory of Delhi which has been acquired by the Central Government under the Land Acquisition Act, 1984 or under any other law providing for acquisition of land for a public purpose.

· THE DELHI URBAN ART COMMISSION ACT, 1973

An Act to provide for the establishment of the Delhi Urban Art Commission with a view to preserving developing and maintaining the aesthetic quality of urban and environmental design within Delhi.

To be enacted by Parliament in the Twenty-fourth Year of the Republic of India

· The Delhi Apartment Ownership Act, 1986

(Act No. 58 of 1986)

• Introduction

The Delhi Apartment Ownership Bill, 1986 seeks to achieve the object of enabling the conferment of heritable and transferable right in an apartment including its proportionate and undivided interest in land and other common areas.

The scarcity of land in Delhi because of very rapid urbanization has led to a vertical growth of buildings. Multi-storied residential buildings, integrated development of commercial institutional and industrial areas and flatted factories have resulted in a marked increase in the number of multi-storied buildings in Delhi containing a number of apartments, sharing land and other common facilities. In the case of flats constructed by agencies like the Delhi Development Authority, while the super-structure is conveyed to the allotted, the land is conveyed to a registered agency and the flottees jointly which apart from separating the ownership of land and super-structures, interposes the registered agency in future transfers of properties.

The existing arrangements also involve the intervention of the Government and agencies like the Delhi Development Authority in the litigation or dispute regarding management of common areas which arise between the lessees and the buyers of the apartments. The legislation therefore proposes to meet the persistent demand for statutory recognition of an apartment as a unit of property, capable of transfer and for statutory recognition of an apartment as a unit of property, capable of transfer and for a statutory organisation clothed with adequate powers for management of common areas in multi-storeyed buildings.

· THE NATIONAL CAPITAL TERRITORY OF DELHI LAWS

(SPECIAL PROVISIONS) BILL, 2009

REFERENCES :

www.indlaw.com

Proposals…

MCD To Hike Tax On Commercial Property

The Municipal Corporation of Delhi (MCD) is all set to increase tax on commercial property in the Capital. The MCD Standing Committee chairman, Ramkishan Singhal said that the corporation would review the tax policy for commercial property and bring a new proposal wherein the tax would be increased.

Class 4 | 4-8-2010 | Real Estate Policy

Project work assigned on collecting information on Indian policy related to real estate, eg SEZ, tax breaks for specific industries, etc.

Due date - 25-8-2010

Important - your bibliography is primate.

Class 3 | 28-7-2010 | Feasibility Analysis

1. What is a feasibility analysis?

2. Rules that apply

3. Economic viability - feasibility analysis models

Class 2 | 21-7-2010 | Investments

What is an investment?

Return of investment

Return on investment

Break even point

Interest - Simple Interest, Compound Interest

Present Value

Future Value

Types of costs

Fixed cost

Variable cost

Marginal cost

Opportunity cost

Risk v Return

Capitalization rate and Cost of capital

Assets and Liabilities

Types of Assets -

Current assets

Long term investments

Fixed assets

Intangible assets

Tangible assets

Depreciation and amortization

Types of Liabilities -

Current liabilities

Long term liabilities

Cash flow - Accounts payable and Accounts receivable

Operational cash flow

Investment cash flow

Financing cash flow

Equity

Cash flow statement

Balance sheet

In a New Decade, During a New Recession, Cities are Going Back to Public Transit

In the midst of the Great Recession, civic leaders, developers, and designers are relearning old lessons: Investment in public transit infrastructure is an investment in economic development

by Zach Mortice

Associate Editor

Post-WWII prosperity brought to America coast-to-coast interstate freeways and sprawling green suburbs that become the quintessential image of the American dream, but during today’s economic recession, a different set of development patterns are being rediscovered: dense, urban neighborhoods facilitated by public transit infrastructure. Cities across the country are re-investing in light rail, street cars, and bus lines.

The potential causality between previous automobile-centric development patterns and the economic crash will be a topic of discussion for scholars, politicians, and interest groups for decades to come, but the connection between the economy and public infrastructure development is clear in one way: Just in time for a global economic meltdown that created a call for massive investments of public capital, including public transit spending, a growing consensus has settled in among civic leaders, developers, and designers that cities and towns are more sustainable and stronger economically with mass transit.

US Census data reveals that city growth accelerated between 2006 and 2008, and the entire decade saw an increase in the use of mass transit. At least half a dozen cities (like Phoenix, Houston, and Charlotte) have invested in new light rail lines over the past 10 years. Last year, the Obama Administration unveiled an ambitious $8 billion plan for a nationwide high-speed rail network. Los Angeles, a city that has tied its fortune to the automobile in brazenly iconic fashion, is now investing $40 billion into mass transit as part of Mayor Antonio Villaraigosa’s 30/10 plan.

“When you start to see Los Angeles really ramping up their transit expansion, then maybe there’s a groundswell that’s really starting to change how people think about public transit,” says Sam Zimbabwe, director of the Center for Transit Oriented Development in Washington, DC.

Key components of the AIA-backed American Recovery and Reinvestment Act (ARRA) economic stimulus bill supply billions of dollars of public transit projects by the DOT, Federal Transit Administration, and Amtrak. In February, the DOT’s Transportation Investment Generating Economic Recovery (TIGER) grants gave $1.5 billion to 51 transit projects across the nation with the participation and input from HUD and the EPA. However, this $1.5 billion is a drop in the bucket of cities’ true transit needs. The grant program was besieged with $60 billion worth of funding requests. Zimbabwe’s Center for Transit Oriented Development did a study before the recession that revealed $250 billion worth of transit spending demand. In the wake of the housing market crash, homes nearest to mass transit networks retained more value, Zimbabwe says. A recent report by the AIA and the Center for Transit Oriented Development identified ways that the tax code encourages sprawl and makes transit-oriented development financially strenuous.

Mass transit in smaller cities is getting Normal

The DOT’s TIGER grants aren’t just investing in large cities where subway commutes are as common as car rides; not-quite metropolises like Ames, Iowa and Kent, Ohio are also getting intermodal transit stations. Normal, Ill. is working on the largest of these projects: a $47 million bus and rail intermodal station that will be completed with $22 million worth of TIGER grant funding. The City of Normal hired Ratio Architects of Indianapolis to design the station, which will include a new three-story city hall. Normal is served by Amtrak, and generates surprisingly robust ridership rates, as it’s located in between St. Louis and Chicago. The building site has been under consideration since 2000 as part of a central business district economic redevelopment plan. The Uptown Renewal Plan is bringing mixed-use developments, a hotel and conference center, a children’s museum, and park space to the town through a public-private partnership. “We see this multimodal [station] as being a major component to the success of the central business district,” says David Krc, an owner’s representative for the City of Normal with Cotter Consulting. Without the infusion of federal dollars, he says, the intermodal station would probably not be happening.

Ratio is aiming for LEED Silver certification for the transit hub. Its brick and limestone façade wraps around and embraces a traffic roundabout with a tall clock tower volume for added civic presence. Krc hopes for construction to begin this summer.

Ed Scopel, AIA, of Ratio Architects says he’d like to see the transit station catalyze more urban, mature, boutique shop development in Normal’s central business district. The town, he says, has already come to a sophisticated understanding of the connection between mass transit, economic development, and sustainability. “Normal gets it in a big way,” says Scopel. “They get it on multiple levels.”

The city’s living room

In larger cities with a well-documented history of public transit, often the task is to restore the infrastructure that was in place before the car became the national transportation default.

That’s what’s going on in St. Paul. Ramsey County (where the city is located) has hired the local firm HGA to restore St. Paul’s old rail station, Union Depot, and turn it into a multimodal transit hub. The train station will welcome back Amtrak service, which left the building in the 1970s, and will feature a stop on the Twin Cities new and expanding light rail system. The project will cost $238 million, and it’s received $50 million from the TIGER grant program. Project backers are still looking to fill a $100 million funding gap, but this summer another $600 million round of TIGER grant funding will become available, and the Ramsey County Regional Railroad Authority will apply.

HGA (who are also working with Beyer Blinder Belle on the project) will restore Charles Sumner Frost’s 1924 Neo-Classical head house, the perpendicular passenger waiting rooms, and the train platform stairs, all by 2012. Organizers are hoping that the refurbished station will encourage more retail and commercial development in the area, recreating a bustling urban hub of activity and shaking up the perception that St. Paul is the sleepier of the Twin Cities. “We’re hoping the head house can become the living room of St. Paul,” says HGA’s Michael Bjornberg, AIA.

The station is at a critical urban juncture in St. Paul. It’s the fulcrum between the downtown business district, the revitalizing Lowertown warehouse district, and the Mississippi riverfront. Bjornberg hopes that awakening this disused site can spread urban energy and enthusiasm throughout the area, coaxing more business owners to move into the vacant warehouses of Lowertown.

This is a view he shares with the civic leaders responsible for the train station project. “For urban metropolitan areas, the two main investments that will position core urban centers to be successful in the future is investment in transit and workforce development,” says chair of the Ramsey County Regional Rail Authority Jim McDonough.

Introduction

Real estate management

1. Macro level decisions

i. Master planning

ii. Detail development plans

iii. Thrust areas/ policy decisions

2. Micro level decisions

i. Feasibility analysis

3. Investment climate/ investment vehicles

How do these decisions affect architecture?