Recent move enables private developers to bid on DDA land parcels

16 Aug 2019 Editorial Team

Delhi Development Authority (DDA) has permitted private developers to bid for its land holdings, giving way to possible new modern apartments in the national capital.

The disposal of residential plots in exchange of group-housing societies through e-auction to various bidders has been approved by the DDA.

Reportedly, realty experts have come out in support for the decision since it will ensure that the apartments have better designs all while DDA will maintain control over FAR norms and construction plans.

Developers welcome the move but are also cautious, considering factors like

Floor Area Ratio (FAR)
Possible restrictions
Cost of land

The group housing will have to be developed in accordance to the terms of the Delhi master plan of 2021, with 15 per cent of FAR allocated for community service personnel or economically weaker section (EWS) and low-income category housing.

The EWS component will be more than the permissible FAR. This portion will first have to be completed then an occupancy certificate must be taken before the developer can do the same for the remunerative portion.

The developer will not hand-over possession of other (non-EWS) flats to anyone before handing over EWS flats to DDA, as reported.

The move is, however, seen as the right way forward because DDA, as a regulator, is expected to only focus on developing infrastructure and will also allow private developers to build houses for any segment.

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