T’gana developers seek relaxation in building permit fees, land use rules

Hyderabad: To enhance the ease of doing business, the real estate developers’ body in Telangana is urging the government for support. They propose extending installment mode payment of building permit fees and other charges, converting industrial estate land to multi-use zones, and establishing a single cell for building proposal clearances in the construction industry.

In discussions with Telangana Chief Minister A Revanth Reddy on Thursday evening, real estate stakeholders highlighted these concerns for the government to address. An official representation is planned for mid-August, Vice Chairman of IGBC National, C Shekar Reddy, told Bizz Buzz.

Speaking on the sidelines of Credai Hyderabad Property Show 2024, Reddy said, “Compared to other cities, the building permit fee and other charges here are higher. We are not asking for a reduction, but for installment payments. The CM has requested a mechanism to prevent misuse by developers issuing post-dated cheques.”

He further said, “Our second request is to fast-track the process for changing land use. The previous government attempted this, but the GO was not successful. Within the ring road, there are industrial estates. Currently, converting this land to non-industrial use requires 50 per cent to be designated as IT and the rest as non-IT, with a 30 per cent land value down payment to the government. We believe the choice of construction should be left to the developer based on local demand, allowing for conversion to a multi-use zone.”

Reddy also suggested that the government establish a cell headed by the Chief Secretary (IAS officer). Officials in this cell would provide in-principle sanctions to investors across the table for building construction projects.

On a query about what did the CM discuss during the meeting with the stakeholders, V Rajashekar Reddy, president, Credai Hyderabad said that the CM shared his vision to make Hyderabad a global city under the Master Plan 2050. He further said, “The vision document is in the formation stage, likely to be released by year-end. We do not have much clarity on that but still the focus is on overall city with better planning.”

On how fruitful was the discussion for the real estate industry, Reddy said, “We had few concerns so we wanted a platform to lay it down in front of the government. We got the opportunity yesterday (Thursday) to build connectivity between the government and the industry. There are rumours out about the sector which will impact the market in a different way. This stakeholder meeting conveyed that the government is in support of the industry provided whatever policy changes are needed, potential employment generation they can create and how the city can be made better.”

The Confederation of Real Estate Developers’ Associations of India (CREDAI) Hyderabad on Friday inaugurated first of the series of Credai Hyderabad Property Show 2024 at Hitex. The three-day property show has more than 200 exhibitors displaying over 800 Rera-registered projects.

Hyderabad registered 6.8 million sft of leasing activity in office space. The city witnessed the launch of 11,480 new units and registered a sale of 18,253 units valued at Rs 29,473 crore in Q1 2024. The governments vision to develop the city on International lines, will place Brand Hyderabad as the most attractive destination and further drive growth in this sector - B Jagannath Rao, General Secretary, Credai Hyd

Hyderabad is the most livable city. Under the leadership of the past governments the city has rapidly grown. With the current government in power, this growth is gaining momentum. The Chief Ministers vision for the real estate with the Master Plan 2050 in place, is beyond imagination. His dynamism is further going to spur the growth here - N Jaideep Reddy, President-Elect, Credai Hyd

Because of the new government and election there was slight correction in the sector. Now the situation has stabilised. Skyscrapper landscape of Hyderabad is completely changing. Cosmopoliton culture of the city is its biggest advantage which is attracting many to invest in residential properties. This is the right time to invest as the prices will only increase in future - G Ram Reddy, CMD, Ark Group

These days, buyers will not be able to book a residence of their choice in a gated community project which is reaching its completion stage. Today’s property show has 60 per cent of the inventory on display. Most of these projects on display have only few units available for booking. This proves the demand for housing - B Ramchandra Reddy, ex-Chief, Credai Telangana