Conversion to leasehold to freehold approved in Delhi

Ahead of Delhi assembly polls, a large number of residents of Delhi living in houses on Nazul land (government land) and whose term leases have expired got a major relief from government as such properties can now be converted from leasehold to freehold at an "affordable" cost.
Urban Development Minister M Venkaiah Naidu has approved this after extensive discussions with all the concerned, said an official statement here today.
As per the Ministry's decision, Delhi Development Authority would facilitate such conversion to freehold against payment in the range of about Rs 2 lakhs per 100 sq mt plot depending on the number of years since the term leases have expired.

The issue had remained unresolved causing anxiety among such lease holders since an appropriate scheme could not be formulated since 2005, as required.
The decision will benefit the people of Delhi living for several years on all the 23 Nazul Estates with expired term leases, the statement said.
As per the scheme, the charges to be paid by the applicants for conversion to freehold include prevalent conversion charges, one-time renewal of lease charge at the rate of Rs 1,000 per sq mt, ground rent payable for each year beyond expiry of lease at five times the rate as applicable at the time of expiry of lease (in the range of Rs 90 to Rs 270 per 100 sq mt) and any other outstanding dues against the property.

The scheme applicable to residential properties for conversion from leasehold to freehold will be operational till 31.12.2015 with a view to facilitating conversion of leases already expired. Lesses, Power of Attorney Holders, Mutatees and purchasers of properties on Nazul lands can apply for conversion to freehold.
A separate schedule of rates for conversion of properties where the use has been changed to commercial or industrial or any other purpose will be worked out, the official said.
Details of 23 Nazul Estates in Delhi are Karol Bagh, Jhandewalan, Paharganj, Darya Ganj South, Darya Ganj North, Sadar Bazar South, Sadar Bazar North, Aliganj, Chirag North, Chirag South, Naiwala, Basti Reghar, Bagh Raoji, Shidupura, Qadam Sharif, Burn Bastion Road, Gestin Baston Road, Jhilmil Tahirpur, Interpat, Arakpur Bagh Mochi, Southern Ridge, Inside City Wall and The Bela.