The dispute between the Delhi Government and the DDA on certain rule amendments saw the policy go nowhere, while unscrupulous elements announced projects and collected monies from naïve buyers with the promise of a house in Delhi.
Talking to reporters here, Jain said the government notified 89 villages of Delhi as "urban villages" on Tuesday while six others were already declared urban. A notification was issued approving this process of land pooling.
For the goal, the Delhi government will notify 89 urban areas as development areas, providing more space for construction of hospitals, schools, residential houses, and other basic infrastructure.
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Stuck for almost two years, the policy was finally given the green light when Urban Development Department of the Delhi government issued a notification after Lt. Governor Anil Baijal approved the Delhi Development Authority's (DDA) Land-Pooling Policy (LPP). This policy is likely to lead to an increase in private participation in housing development across the city.
The passage of land pooling policy is expected top pave the way for affordable housing. "The artificial restriction on supply of land that had been in place till now will stop", said Mr. Jain.As per the policy, those who give the DDA more than 50 acres of land will get 60% of it back after development.
As per DDA estimates, building 2.5 lakh houses, including 50,000 EWS (Economically Weaker Sections) units, will require 1,000 hectare of land. "The notification comes due to direct cognisance taken by the Delhi L-G".
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The matter had been pending for more than two years as the Delhi government had been demanding the DDA to introduce a clause in the policy that 10% of the developed land will be allocated to the Delhi government in order to carry out social sector services like construction of schools and hospitals.
The remaining land is then returned to the owners who can partner with real estate developers to build apartments and residential properties. On contributing 2-20 hectares to the land pool, the developer entity will be compensated with plots measuring 48% of the original.
With the help of better infrastructure and readily available public amenities, the land pooled by the owners sees a substantial increase in its price after a few years of development.
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Providing relief to small farmers, self-penalty on DDA for delays, and flexibility to farmers to trade their land or tie up with developers for land-pooling are some of the important features of the policy.