Real estate prices likely to go up

Source:DFC:Jharna Mazumdar Sep 08 2011 , Mumbai




Property prices are likely to escalate due to the Land Acquisition, Rehabilitation and Resettlement Bill introduced in the Parliament on Wednesday.

Lalit Kumar Jain, chirman of CREDAI said, “Due to the recent land acquisition bill property prices will further escalate as acquisition of land will become costlier. For private land acquisition it is based on negotiation and introduction of rehabilitation clause wa not needed as it will creat more hassle. Also the lan stock will be reduced.“

Niranjan Hiranandan of Hiranandani Developer said, “One way the land ac quisition bill is very good a agitation related to land ac quisition across the coun try will be put to rest. Bu the clause of rehabilitation even in the case of privat land acquisition will lead t misuse and corruption. W are negotiating and payin as per market prices then why should the question o rehabilitation and resettlement arise.“

Hiranandani said another clause introduced that if a land is acquired for some purpose and not fully utilized by the developer then the government will take 80 per cent of the land is not correct as there may be several reasons for not utilising it. He added that increase in property prices is inevitable as land acquisition is likely to become costlier.