Traders in Chandigarh demand to reduce collector rates by 50%
The city traders in Chandigarh have urged the Chandigarh administration to reduce the rates by 50% to bring it at par with Panchkula and Mohali.
The high collector rates in Chandigarh as compared to Panchkula and Mohali has affected the real estate market in the city. The existing collector rates are abnormally high than the prevailing market price in the city. In some of the areas, the properties are available at less than half of the price of current collector rates.
The high rates have pushed the buyers to Panchkula and Mohali, leading to loss to government exchequer.
Traders, property consultants and industrialists have been pressing for reduction of collector rates from the past few years. Last year, Chandigarh administration had reduced collector rates up to 20% in both commercial and residential categories.
The traders have also urged to keep the rates of leasehold to freehold low. Administration on August 11 had announced to have lifted the ban imposed on transfer of leasehold to freehold residential properties and is in process of fixing new conversion charges, which were last revised in 1996. The new rates will be higher than the old rate of Rs 1,710 per square yard as UT cannot fix the new rates below the notified land rates. There are around 2,000 leasehold industrial plots in the two phases of Industrial Area, while there are 50,000 residential plots, which have been allotted on leasehold.