By paying improvement costs, over 6 lakh ‘B-Khata’ property owners can obtain an ‘A-khata’ certificate from the Bruhat Bengaluru Mahanagara Palike (BBMP).

In a high-level meeting on April 13, Chief Secretary P Ravi Kumar proposed that the civic body provide khata and property identification numbers (PID) to all property owners in Bengaluru.

A-Khata homes have valid documentation that has been confirmed by state organisations. Property in violation of bylaws and buildings developed without building plan approval are examples of ‘B-Khata’ properties with abnormalities in the documentation. Since 2008, the BBMP has discontinued giving ‘A-Khata’ to properties that are in breach of bylaws and instead have kept a B registry, which has become known as B Khata properties.

The BBMP in its recent budget has projected a total revenue collection of Rs 10,484.28 crore. The corporation has estimated it would collect Rs 3,107 crore from property tax. It estimated revenue of Rs. 1000 crore from ‘B-Khata’ to ‘A-Khata’ Regularisation Scheme.

The conference discussed the subject, according to BBMP chief commissioner Gaurav Gupta, and it was recommended that ‘khata’ be granted to all properties. “The administration has yet to issue an executive order. Before any formal decision is made, several legal problems must be resolved,” he stated.

The Karnataka Administrative Reforms Commission recently proposed collecting penalties and land conversion charges to convert ‘B-Khata’ to ‘A-Khata.’ The problem would be addressed in light of the Karnataka Town and Country Planning Act and the Karnataka Land Revenue Act, according to Chief Minister Basavaraj Bommai.

In 2022, India’s real estate sector is seeing a robust growth in demand, which is likely to continue throughout the year. The real estate industry’s entire market forecast is good, from commercial spaces to residential markets.

Despite pandemic challenges, the sector remained resilient and grew steadily in 2021. For a time, India’s first wave of Covid-19 brought the industry to a halt. However, by the fourth quarter of 2020, the market had began to pick up speed, thanks in part to increased demand for residential apartments. The second wave of Covid-19 arrived just as the area was beginning to recover. Unlike the first wave, the second wave had less lasting and conspicuous consequences. Vaccination campaigns and lower illness rates boosted market confidence. In addition, the holiday season aided the sector’s expansion.

The sector made a significant recovery as a result of these causes. The good trend that began in Q3 2021 is expected to continue, and the year will close on a high note. Residential sales increased by 65 percent on a sequential basis in Q3 2021, according to a JLL report. Low interest rates, along with duty waivers (in some jurisdictions), realistic property price, and appealing offers, will assist the business, resulting in cheap synergies.

The real estate index has grown by 75% in the last year and is the second-best performing sector index, outperforming the benchmark index Nifty50 by a wide margin. Real estate has not only made a comeback but is likely to thrive in the coming year, thanks to historically low loan rates and temporary stamp cuts.

The year 2022 will be significant for real estate

In the residential segment, India’s real estate sector is expected to rise by roughly 5% in capital value by 2022. According to some estimates, sales momentum will go up in 2022, as prospective homebuyers will continue to favour larger homes with more facilities, and attractive pricing will keep them interested in closing transactions. Meanwhile, when office employment restarts, the commercial sector’s rebound and the flight-to-quality tendency are likely to keep rents stable and climb in 2022. Furthermore, in the coming year, the luxury home market is expected to reach new heights.

The financial impact

The Indian government has launched a number of initiatives in the hopes of encouraging people to own real estate. The proposals made in the Union Budget 2022-2023 will aid in the development of a robust real estate market.

The government continues to place a high priority on affordable housing while also looking for methods to improve existing financing processes in order to offer liquidity to stalled real estate projects. The Indian government extended the deadline for providing pucca dwellings to all rural families till 2024 in the first week of December. The Cabinet resolved to grant INR 2.17 lakh crore in additional Central and State money to the flagship rural scheme, Pradhan Mantri Awas Yojana-Gramin, in order to meet its aim of building 2.95 Crore houses.

The Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) has announced that the repo rate and reverse repo rate will remain unchanged for the tenth time. Organizing the

MPC set the tone for the year by indicating that it is focused on growth. Maintaining interest rates will assist in enhancing consumer affordability and maintaining existing demand trends.

Continued expansion

According to NITI Aayog, the Indian real estate sector would reach a market size of $1 trillion by 2030, accounting for 13% of India’s GDP. The real estate business, which is already the third-largest contributor to economic growth, is predicted to keep growing in 2022.

Tata Housing, the Tata group’s real estate business, plans to invest roughly Rs 1,200 crore over the next two years to buy land outright and through joint ventures across key cities for group housing projects and plotted development. According to Dutt, Tata Housing recently launched the ‘Swaram’ project in Devanahalli, Bengaluru, and the plots were sold out within 36 hours of its introduction. Sanjay Dutt, CEO and MD of Tata Realty and Infrastructure, said, “We sold all 157 plots for 130 crore.”

Sanjay Dutt, CEO and MD of Tata Realty and Infrastructure, told PTI that demand for plots has surged dramatically during the epidemic, adding that the company has sold all 157 plots in Bengaluru for Rs 130 crore. “Over the next 12-24 months, we want to invest Rs 1,200 crore in acquiring lands for premium residential areas as well as plotted development,” he said.

One Bangalore Luxury Projects LLP, a joint venture between Tata Housing Development Company Ltd and M S Ramaiah Realty LLP, is developing the Swaram project as part of Tata Housing’s 140-acre township ‘Karnatica.’

The project, which is located in Devanahalli, Bangalore, 15 minutes from the Kempegowda International Airport, features pre-engineered plots with wide roads and energy efficient street lighting. The technology, environmental, and social concerns will be central to the mixed-use development. The idea would be to build a city where technology coexists with nature, “smart” coexists with sustainability, and social connection is promoted by structures like parks and high-street shops. People will be encouraged to not just utilise smart technology, but also to be social and live in close proximity to nature, which will improve the livability index.

“Driven by innovation, we have been sprinting towards producing properties that deliver better value to the increasing needs of new-age house buyers,” Sanjay Dutt, CEO and MD, Tata Realty and Infrastructure, stated. Carnatica is one of our largest projects in Bengaluru, and it will reshape the region’s millennial house buyer demand. North Bengaluru has been a development hotspot, especially since KIAL’s expansion in 2014. The launch of Swaram as the first phase of Carnatica will boost North Bengaluru’s real estate worth.”

After Crescent Enclave in Chennai, this is the company’s second plotted development project. The company is willing to buy property parcels outright as well as arrange joint development agreements (JDAs) with landowners. It’s looking at land banks that range in size from 12 acres to 200 acres. Tata Realty is concentrating its efforts on large-scale projects in both the commercial and residential sectors.