The Ghaziabad Development Authority (GDA) recently made two significant decisions that will impact the real estate sector in the region. The authority has decided to increase the reserve price of its commercial properties and has approved the Wave City plan, a part of the state’s hi-tech township policy.
Reserve Price Hike for Commercial Properties
The GDA has raised the reserve price of its commercial properties in Indirapuram, Pratap Vihar, and Madhuban Bapudham housing scheme in order to compensate for the additional costs incurred in building Economically Weaker Section (EWS) flats. The reserve price for commercial properties in Indirapuram has increased from Rs 1.5 lakh/sqm to Rs 1,58,700/sqm. Similarly, the reserve price in Pratap Vihar has increased from Rs 48,000/sqm to Rs 56,700/sqm, and in Madhuban Bapudham, it has increased to Rs 84,300/sqm. The authority intends to recover a total of Rs 27.1 crore through this price hike.
Wave City Plan Approval
The GDA Board has also approved the Detailed Project Report (DPR) and layout plan of Wave City, a key development planned under the state’s hi-tech township policy. This decision comes after a recommendation from the high-powered committee of the Uttar Pradesh government to approve the revised DPR. This approval will enable approximately 5,000 homebuyers to proceed with the registration of their flats. Wave City’s history dates back to 2009-10 when the Uttar Pradesh government notified around 8,700 acres of land along NH-9 for the hi-tech township policy. However, in 2017, the Comptroller and Auditor General (CAG) raised objections to the GDA’s concessions to two developers, including Wave Group, which cost the exchequer an estimated Rs 572 crore. Wave Group has since developed half of its allotted area and handed over possession to around 12,000 homebuyers.
Impact of the Decisions
The increase in the reserve price for commercial properties is expected to generate much-needed revenue for the GDA as it seeks to cover the additional costs incurred during the construction of EWS flats. However, this price hike may have an impact on potential buyers and investors in the commercial real estate sector. It remains to be seen how the market responds to this decision and whether it will affect overall demand for commercial properties in the region. The approval of the Wave City plan is likely to bring relief to the 5,000 homebuyers who have been waiting to register their flats. The full development of Wave City will provide further impetus to the real estate sector in Ghaziabad and contribute to the growth of the state’s hi-tech township policy. Overall, these decisions by the GDA are aimed at addressing financial concerns and providing substantial support for ongoing and upcoming real estate projects in Ghaziabad. It is essential for stakeholders, including developers, homebuyers, and investors, to monitor the market closely and adapt their strategies accordingly.
