The Uttar Pradesh government has rolled out a new set of property costing rules that will introduce additional premiums for prime residential plots across the state's major urban centres. The guidelines, set to be implemented by various development authorities, aim to standardise pricing while introducing specific charges for desirable plot features.
Key Features of the New Costing Guidelines
The Housing and Urban Planning Department has formulated the "Ideal Property Costing Guidelines 2025," which were ordered for implementation by Principal Secretary P Guruprasad on December 25. A central feature of these guidelines is the introduction of a 5% premium levied on the total property value for specific, high-demand plot categories.
This premium will apply in several key situations. Firstly, applicants purchasing a corner plot from a housing development authority will need to pay this extra 5%. Similarly, plots that are situated directly opposite parks will also attract this premium charge. Furthermore, an additional amount will be charged if the plot is located on a road with a width of 18 metres or more.
How Base Rates and Buyer Safeguards Are Defined
The base rate for properties under these new rules will be determined after evaluating several parameters but will be equal to the prevailing circle rate fixed for developed city areas or localities within municipal corporation limits. This move is intended to align government scheme prices with existing market benchmarks.
Importantly, the guidelines also incorporate significant consumer protection measures. Major development authorities like the Lucknow Development Authority (LDA), Kanpur Development Authority (KDA), and Varanasi Development Authority (VDA) must provide an exit option to buyers. If the final size of the developed plot varies by more than 10% from the size assured at the time of the scheme's launch, the authority must return the original booking amount along with interest to the applicant who wishes to withdraw.
Transparency and Undertakings from Applicants
The new framework also introduces a requirement for applicants to provide a formal undertaking. This clause addresses potential future revisions in the original brochure rates due to unforeseen circumstances, such as changes in compensation awarded to farmers if mandated by a court or adjudicating authority.
"We would seek an undertaking from the applicants on this front while registering him for the scheme," explained a senior officer deputed in Lucknow. This measure is designed to pre-inform buyers about possible cost adjustments and ensure transparency in the process, preventing disputes at a later stage.
The comprehensive guidelines mark a structured attempt by the state's housing department to bring uniformity and clear rationale to property pricing in government schemes, while balancing revenue generation for authorities with defined protections for the investing public.
