Bhubaneswar, May 18: Frustrated with the slow pace of infrastructure projects, often because of legal wrangles, development authorities have decided that landowners will have to gift them the acquired portion irrevocably. However, in return they will get the right to build an extra floor.
The Bhubaneswar Development Authority (BDA) feels that the quid pro quo will help in pushing forward infrastructure development projects such as such as roads and bridges and avoid legal hassles.
Earlier, while dealing plots affected by infrastructure projects, the BDA would sanction execution of building plans on the remaining land portion. However, it was found that even after that many projects got delayed or stalled due to legal complicacies.
To overcome and develop the master plan for roads and other infrastructure in keeping with the 2010 comprehensive development plan, the BDA has come up with the strategy of gifting land and getting an extra floor.
BDA planning member (in-charge) Sudhiranjan Mohanty said: "We have discovered that many projects were suffering due to land acquisition and other legal problems causing slow progress in infrastructure development. Consequently, this decision was taken."
According to the new provision, which was notified on Saturday, landowners will have to first surrender land rights on the affected portion through an "irrecoverable gift deed" to the BDA. The BDA will then allow extra floor right to the landowner. If the extra floor sanction cannot be used for the affected plot, it could be transferred to any plot owned by the person anywhere in the city.
In case the person does not have any land elsewhere in the city, the BDA will offer transferable development right (TDR) to the person. However, the proposal to issue TDRs is lying with the state government and can be implement once the relevant notification is issued.
Explaining the concept, Mohanty said: "The landowners will not lose due to infrastructure development projects as they can also get a TDR if a major portion of the land gets affected. TDR is equivalent to a bond that the person can get converted into money or sell it to a developer. However, the modalities of TDR are yet to be spelt out clearly and it is still lying with the state government for a final notification."
Former president of Real Estate Developers Association of Odisha Anup Mohapatra said: "If the landowner is unable to use the extra floor right in an area such as Saheed Nagar or BJB Nagar, the TDR can be redeemed in cash as done by Pune Municipal Corporation where the TDR amount is directly deposited in the account of the landowner. The state government has to do the study and devise such a formula for Bhubaneswar."
Real estate developer and member of the national council of the Confederation of Real Estate Developers Association of India (Credai) D.S. Tripathy said: "Almost all major comprehensive development master plans for roads and other infrastructure provisions are now blocked due to land related issues. To know which roads are affected by private ownerships, the development authority should notify them as early as possible."
Landowner Ashok Kumar Sahu said: "I lost one of my plots to a proposed development of a sewer treatment plant near Sundarpada and received a small amount for my land. If the authorities start using the TDR, then people can get the proper value for their land."
