No TDR, only compensation for builders

No TDR, only compensation for builders
BBMP Will Work Out A Plan In Consultation With The State Government
The Times of India

Bangalore: BBMP commissioner K Jairaj said the Palike will approach the state government to work out compensation for people who are forced to give up buildings (and not empty land/sites) for road-widening work.
At a public meeting with builders and property owners, Jairaj said the Transfer of Development Rights (TDR) is now applicable only to land and not building losses. To overcome this problem, the BBMP will work out a solution in consultation with the state. A meeting will be held with immediate effect, he added.
Jairaj said BBMP would contemplate the appointment of a third party, like HDFC, to deal with the sale and purchase of TDRs. “The BBMP would not be involved in this. People who know the TDRs, like HDFC, would be asked to negotiate issues concerning value of TDRs. This will be an exchange mechanism.”
The BBMP commissioner added that efforts would be made to create a market for TDRs and that builders would be asked to create that market, in consultation with the state government and BDA. A ready market for TDRs would mean that land and building losers can sell their certificates immediately after loss. “I shall be frank. The builders have to create a market for TDRs. They have to come forward,” Jairaj asserted.
KOAPA president Balkrishna Hegde, on behalf of the builders, suggested a framework for TDR rates/prices across three zones: Zone A - Rs 2,500 per sq feet; Zone B - Rs 2,000 per sq feet; Zone C-Rs 1,500 per square feet. “It has worked very well in Hyderabad and Mumbai. We are giving higher rates than in Mumbai, where it is between Rs 1,800 and Rs 2,000 per square feet.”
To demonstrate the actual sale and purchase of TDR, the BBMP commissioner instructed officials to conduct a meeting of Hosur Road land and building losers with private builders before February 28. This will be the first meeting of buyers of TDRs with land and building losers following the price/rate framework worked out by the builders. Subsequently, meetings of residents of Bellary Road, Airport Road and Old Madras Road will be held.
BDA to give land
To appeals of compensation for owners of small areas of land/sites or shops, BDA commissioner Shankarlinge Gowda said the BDA would be willing to give land, wherever possible, in areas close to the area where land/shop has been lost. But the compensation by and large would be land/area in new layouts only and not within city areas, he asserted. “The BDA is ready to give land to the BBMP as part of this project as it is a public cause. The BBMP can inturn sell it to people losing their land. We would like this to be demonstrated. This decision is final.”
THE NEXT MOVE
BBMP would contemplate the appointment of a third party, like HDFC, to deal with the sale and purchase of TDRs. Efforts would be made to create a market for TDRs and builders would be asked to create that market, in consultation with the state government and BDA