CHB to allow subsequent transfer of commercial units under GPA
In a major relief to owners of nearly 3,400 commercial properties under the Chandigarh Housing Board (CHB), the governing body of the board plans to allow the subsequent transfer of commercial units under the general power of attorney (GPA). The agenda will come up for discussion in the board meeting scheduled in the last week of this month.
In a major relief to owners of nearly 3,400 commercial properties under the Chandigarh Housing Board (CHB), the governing body of the board plans to allow the subsequent transfer of commercial units under the general power of attorney (GPA). The agenda will come up for discussion in the board meeting scheduled in the last week of this month.
Speaking to HT, a senior CHB official said that on the lines of dwelling units, the board has proposed that the cases where the commercial units have been transferred by the board under the GPA transfer policy, mutual transfer policy or blood relation transfer policy, and the transferee has further sold the unit under the GPA transaction, such transactions be regularised under the GPA transfer policy, subject to the payment of stamp duty and registration fee as per law.
During the governing body meeting held on October 14, the board has already resolved that the GPA/special general power of attorney policy be extended to commercial properties. While the processing fee for transfer of commercial properties is planned to be fixed at Rs 10,000, the transfer fee is to be calculated at the rate of 7% of the market value, calculated by three independent evaluators on yearly basis, or Rs 7 lakh, whichever is higher.
500 of 3,400 units lying vacant
Out of 3,400 commercial units in various parts of the city, more than 500 are lying vacant. In May this year, the CHB failed in its first-ever attempt to give out its 142 unsold booths and other shops on a monthly rent. The board found not a single of of the 1,060 bids worthy on its primary criterion of rent assessment.
Last year, the CHB had decided not to auction, but rent out, the vacant commercial properties not allotted for years. The board has not been able to dispose of the property, worth crores, as the property is auctioned on a leasehold basis and service tax is also being charged from this year as per directions of the Central excise and taxation department.
The commercial units lying vacant are in Sector 39, where all the 118 booths constructed are vacant, Sector 38, where 72 of 132 booths are vacant, and in Sector 42, where all 40 booths are vacant.
