Latest news with #GeneralHousingScheme
Hindustan Times
3 days ago
- Business
- Hindustan Times
Chandigarh: Collector rate hike casts shadow over CHB's Sec-53 project
The Chandigarh Housing Board (CHB) is facing uncertainty over the launch of its long-awaited General Housing Scheme in Sector-53, despite receiving a renewed environmental clearance. A sharp hike in the city's collector rates, which came into effect in April 2025, has pushed property prices up by 35% to 40%, raising concerns about whether the applicants, who had previously shown strong interest, will still be able to afford the project. CHB's decision-making process has been marred by delays, marking the second environmental clearance renewal in just two years. The board recently secured clearance from the environment department after paying a ₹5 lakh fee, following a similar payment of ₹7 lakh in 2024. However, each clearance is valid for just one year, adding pressure on the board to make a final decision. A senior CHB official confirmed that the issue will be taken up at the upcoming board meeting, though the date remains undecided. Rising prices threaten viability In an attempt to gauge public interest, CHB conducted a demand survey between February and March 2025, which saw an overwhelming response from prospective buyers. The survey attracted 7,468 applicants vying for 372 flats in three categories: high-income group (HIG), middle-income group (MIG) and economically weaker section (EWS). The applicants had to deposit ₹10,000 for HIG and MIG flats and ₹5,000 for EWS flats, signalling intent. Despite the strong demand reflected by the survey — nearly 20 applicants for each available unit — the sharp increase in property prices due to the new collector rates has put the future of the project in doubt. The board has even started to refund the collected amount, nearly ₹7.5 crore, from the hopeful applicants due to the uncertainty of the project. Originally, the price for a three-bedroom flat was estimated at ₹1.65 crore, a two-bedroom flat at ₹1.40 crore, and a two-bedroom EWS flat at ₹55 lakh. Under the new collector rates, these prices have skyrocketed to ₹2.29 crore, ₹1.97 crore, and ₹73 lakh, respectively, making the scheme less affordable for many potential buyers. CHB's long struggle to provide affordable housing The steep hike in prices mirrors past challenges faced by CHB in launching affordable housing schemes. In 2018, when the scheme was first proposed, only 178 applications were received for 492 flats, far below expectations. Back then, the high prices — ₹1.8 crore for a three-bedroom flat, ₹1.5 crore for a two-bedroom flat and ₹95 lakh for a one-bedroom flat — resulted in a tepid response, leading to the project being scrapped. Founded in 1976, CHB was established with the primary objective of providing reasonably priced and good quality housing in Chandigarh. Its last successful housing scheme was rolled out in 2016, when 200 two-bedroom flats in Sector-51 were offered for ₹69 lakh each — a far cry from the current prices.
Hindustan Times
07-06-2025
- Business
- Hindustan Times
CHB back-pedals on Sector-53 housing scheme, to refund ₹7.5-crore application fee
The Chandigarh Housing Board still cannot seem to make up its mind about the long-delayed General Housing Scheme in Sector 53 — its only offering since 2016. After conducting a much-publicised demand survey, which received an enthusiastic response, the board has now decided to refund the nearly ₹7.5 crore collected from the hopeful applicants. The demand survey, which ended on March 3, saw 7,468 applicants vying for 372 flats across three categories — nearly 20 applicants per unit — reflecting a strong demand. To confirm their interest, the applicants had deposited ₹10,000 for High-Income Group (HIG) and Middle-Income Group (MIG) flats, and ₹5,000 for the Economically Weaker Section (EWS) flats. However, a sharp hike in the city's collector rates, which took effect from April 1, pushed the flat prices up by 35% to 40%, throwing the project into uncertainty. When the demand survey was conducted, just weeks before the new collector rates were implemented, the estimated cost of the three-bedroom, two-bedroom and two-bedroom EWS flats was ₹1.65 crore, ₹1.40 crore and ₹55 lakh, respectively. But under the new collector rates, the prices have risen to a staggering ₹2.29 crore for a three-bedroom flat, ₹1.97 crore for a two-bedroom flat and ₹73 lakh for an EWS flat, leaving officials pondering whether the interested applicants will still be willing to proceed at the higher prices. Subsequently, CHB CEO Ajay Chagti had said the matter will be placed before the Board of Directors to decide whether to go ahead with the scheme or conduct a fresh demand survey. But no meeting has been held since. Instead the board has simply decided to refund the application fee — leaving thousands of housing hopefuls in Chandigarh frustrated and disappointed. To make matters worse, there's no clarity on what comes next. A CHB official confirmed that UT chief secretary-cum-CHB chairman Rajeev Verma had approved the refunds. However, no decision has been taken on whether a fresh survey will be conducted or whether the scheme will proceed at all. Ironically, the demand survey itself was ordered by the UT chief secretary to establish demand for the project. But a call to conduct a fresh demand has never been taken even two months after the hiked collector rates were enforced. Scrapped, revived, on hold again The whopping 7,468 applications are in stark contrast to only 178 applications for 492 flats when the scheme was first floated in 2018. The low response, primarily due to steep prices, had ultimately led to the scheme getting dropped. Back then, the three-bedroom flat was offered for as high as ₹1.8 crore, two-bedroom flat for ₹1.5 crore and one-bedroom flat for ₹95 lakh. Struggling to justify its existence, the board revived the scheme in February 2023 with lower prices. However, former UT administrator Banwarilal Purohit put the scheme on hold on August 3, 2023, citing there was no requirement for it. But Purohit's successor Gulab Chand Kataria, in November 2024, revived the scheme, prompting a fresh demand survey. Established in 1976, with the primary objective of providing reasonably priced and good quality housing in Chandigarh, CHB had last successfully rolled out a housing scheme in 2016, when it had offered 200 two-bedroom flats in Sector 51 for ₹69 lakh each.
