In-principal approval has been granted to the Noida Authority for converting land holding rights to freehold from lease hold post the approval from the Uttar Pradesh Government as per reports. This decision may impact real estate and property markets significantly in Noida and was taken at the 195th Noida Authority board meeting accordingly.
There was a proposal placed before the board in this aspect and the in-principal approval has been granted for freehold conversion. The board has authorized its chief executive officer cum chairman, Alok Tandon, to dispatch the proposal to the Uttar Pradesh State Government for obtaining approval.
In the city of Noida, apartments/plots are usually sold on the leasehold basis instead of being offered on the freehold basis. In case of the former, the property in question is owned by the buyer for a period of 99 years. A particular lease rent amount has to be paid for the property by the buyer as a result. However, in case of freehold property, no such lease rent is required from the customer. Protests had previously been staged by multiple residential welfare associations, industry and trade organizations and other citizens on the 4th of October, 2018, seeking the conversion of land and property to freehold. Gautam Buddh Nagar MP Mahesh Sharma has also lent his support to this movement.
The Noida Authority has thus deemed it fit to act fast in order to keep public interest at the forefront and avoid being wrongly labelled as anti-people. The board has also agreed at its meeting to take the opinion/feedback of the public with regard to enabling residential project sales on the floor-wise basis. The Noida Authority board has also approved the establishment of a RERA office in the city and also confirmed that 450 sq. metres have been allocated for the same in Sector 44, Noida. If the freehold conversion move does go through, it will boost overall home buying sentiments immensely as per reports.