BMRC comes out with attractive package

BMRC comes out with attractive package

The Hindu

Compensation for hardships, relocation, anticipated income loss

# The relief offered ranges from Rs. 24,000 to Rs. 6.5 lakh
# Shifting expenses and cost of relocation are to be met

BANGALORE: The 1,500-odd families, who will lose their properties for the proposed metro rail, will get much more than the market value for them.

The Bangalore Metro Rail Corporation has come out with a system to evaluate the hardships caused and compensate them. Starting from Rs. 24,000, the value of hardships can go up to over Rs. 6.5 lakh in some cases. And it is over and above the market value that the owners get.

The additional compensation was to mitigate inconvenience caused, meet shifting expenses and to make up for the business losses suffered and the cost of relocation of businesses, according to the sources in BMRC.

For example, the lowest amount of Rs. 24,000 is for the owners losing land and own house partially. This amount is called inconvenience allowance. The owners of lands and commercial buildings, measuring over 1,500 sq. ft. will get additional Rs. 6.8 lakh in addition to the market value. This includes Rs. 3.6 lakh for re-establishing the business (at the rate of Rs. 240 a sq. ft.), Rs. 20,000 towards shifting charges, Rs. 2 lakh rental compensation and Rs. 1 lakh to compensate business losses.

According to the details worked out by the BMRC, the owners of land measuring 1,000 sq ft. with a self-occupied house will get a minimum of Rs. 1 lakh. This is for shifting, mitigating inconvenience and transitional losses. The transitional cost, paid on the basis of area lost, is to provide for rentals and deposit costs during the period of transition. The charges go up as the area lost increases. The tenants also get compensation. If only one family has occupied the rented out area, it will get Rs. 27,500 towards shifting charges and inconvenience allowance. If there is more than one occupant, the compensation goes up to Rs. 42,500.

In the case of commercial buildings, tenants get up to Rs. 1.15 lakh if the business establishment was paying sales tax or VAT of more than Rs. 15,001. This includes compensation for the loss of business. The tenants will be required to show certified copy of documents of VAT/ST for 12 months of the previous year or one annual return filed before the Commercial Tax authorities. Those who cannot produce the documents will have to accept the fixed amount of Rs. 30,000 towards shifting and business losses.

The business loss is to be compensated by giving Rs. 50,000 to Rs. 1 lakh depending on the VAT/ST figures of the establishments.

The rental compensation too increases as the area lost increases. Those losing 1,000 sq. ft. of rented residential area get a compensation of Rs. 60,000, and those losing up to 1,500 sq. ft. get Rs. 75,000 and those losing more than that will get Rs. 90,000. Those losing commercial rented property under these slabs get twice the amount.