Noida gives big rebate on circle rates
The cost of registering commercial and institutional properties — shops and office spaces, for instance — in Noida and Greater Noida will decrease significantly with up to 50% rebates being offered by the administration. There is relief as well for investors in group housing societies as registering flats will also see a decrease because of surcharges being reduced on common facilities.
District magistrate B N Singh on Wednesday announced steep rebates in circle rates across categories to boost investment in the twin cities where the real estate market is in a prolonged slump with flat deliveries running years behind schedule and commercial properties witnessing tepid demand. The slowdown in the realty market has also affected the government’s revenues — of the Rs 2,522 crore it expected to mop up in 2017-18, collections accounted for only around 67%.
This is the first time the administration has proposed to reduce circle rates, albeit through rebates, in the last six years. The administration has invited feedback from stakeholders for 10 days after it will send its report to the government. The revised circle rates will be implemented from August 1.
Circle rate is the minimum value at which sale or transfer of property takes place. Properties in the twin cities are classified in six categories – group housing projects, residential, commercial, industrial, institutional and IT. Circle rates differ for each. No rebates have been announced for the residential and industrial categories.