Allottees In Lurch As Bda

Doubles The Flat Rates

The Q1 2014 is expected to be in the
news for quite sometime, thanks to the
Bangalore e!elopment "uthorit#$ "fter
offering sites that are no longer
litigation free and not equipped with
clear titles that led to an increase in the
price of B" plots b# 200%&00', it is
now the turn of the apartments$ "s per
recent market news, the ci!ic bod# at a
short notice, has (acked up the flat rates
b# 100%200'$
The decision of the ci!ic bod# to double )almost* the flat prices, which were mainl#
constructed for the economicall# weaker sections has pinned down the hopes of
common man to own a flat in the cit#$ The hike was attributed b# the B" to the
sudden stepping up of the construction costs, expansion of the flat si+e and cost of
pro(ect super!ision$
Market insight
"ccording to the current market news, B" intends to sell off all its 2B,- flats in
Bangalore for not less than .s 2/ lakh$ To make matters worse, it has sent legal
notice to allottees who ha!e won flats in lotter#, to ante up an additional sum of .s
10 lakh%.s 1/ lakh, as per the house t#pe$ 0uch apartments are located in "lur,
Thippasandra, -othanur, gun(ur, 1andini la#out, 2alagala, ,alage!aderahalli,
oddabanahalli and 3alagerahalli$
"s per the re!ised price structure, the changes are as follows4
FLATS OLD PRICE REVISED PRICE PRICE FOR FUTURE PROJECTS
1B,- .s / 5akh .s 6$/ lakh .s 10 5akh
2B,- .s 6$/ lakh .s 16$& lakh .s 2/ lakh
7B,- .s 17$/ lakh .s 2/ lakh .s 7/ lakh
Impact of the hike
8ropert# consultants quote that b# hiking the apartment prices in Bangalore, B"
has annulled its own purpose of offering affordable residential units$ 9i!en the
increase in sand, cement and steel prices, a marginal hike is accepted, but a giant
leap b# 100%200' cannot be (ustified$
The rise in flat rates has left the home bu#ers in a state of war#, since the# will ha!e
to scourge for funds and appl# for loans to deal with the hike in price$ :urthermore,
man# of the applicants will not fall in the band which makes them liable to appl#
loans from banks$ This recent arbitrar# decision of the B" is e#ed as a ;real estate
agenc#< mo!e instead of a ci!ic bod# and thus, has generated a wa!e of discontent
among the bu#ers$
Source4 =ommon:loor$com
:or 5atest >pdates on .eal ?state >pdates, 8ropert# 1ews and =ities
@nfrastructure e!elopments 3isit4 http4AAwww$commonfloor$comAguide
=op#right B 2006%14 =ommon:loor$com$ "ll rights reser!ed$