Signature View residents in Delhi reject DDA’s plan for rehabilitation

DDA has given residents three options: buy back the flat with 10.6% simple interest, swap the flat with another one or get a new flat in the redeveloped complex and get rental for the construction period

Residents of the housing complex at Mukherjee Nagar, declared structurally unsafe, were yet to agree to a rehabilitation plan of the Delhi Developmental Authority (DDA) even as two months have lapsed since the lieutenant governor’s orders to redevelop the structure.

Two months have lapsed as on Monday since the lieutenant governor’s orders to redevelop the Signature View Apartments housing complex at Mukherjee Nagar in New Delhi. (Sanjeev Verma/HT Photo)

DDA has given three options to residents as part of its rehabilitation plan: buy back the flat along with 10.6% simple interest from the date of payment, swap the flat with another DDA flat in Delhi, or get a new flat in the redeveloped housing complex and get rental for the construction period.

However, the residents of Signature View Apartment have sought a revision of the offers, especially regarding redevelopment.

In this regard, the Residents’ Welfare Association (RWA) has sought an appointment with LG VK Saxena to discuss the matter. RWA on Monday also gave a presentation to legislators of the Bharatiya Janata Party and the Aam Aadmi Party, who are members of DDA.

Amarendra Kumar, president of Signature View Apartment, said, “We have a problem with all the three options. While most residents want to opt for redevelopment, we don’t want DDA to construct additional flats. We want DDA to develop the housing complex on ‘as is where is basis’, and immediately start paying rentals. The buildings are not safe, as we are forced to live on rent elsewhere.”

But a senior DDA official said, “We have not accepted their request.”

DDA constructed the Signature View Apartment in 2010 at a cost of ₹45 crore.The flats were allotted to residents in 2011-12, but started showing signs of distress soon. A 2021-2022 study conducted by IIT Delhi found the building to be structurally unsafe, and recommended to “vacate and dismantle” the same, according to officials aware of the matter. At the time of the sale, DDA recovered ₹20 crore against the flats.

“The DDA still has ownership of some parts of the complex and plans to fully utilise the space available as per the Master Plan of Delhi-2021 norms. There is a land parcel adjacent to the housing complex. We plan to combine the two land parcels and redevelop it. The residents had requested regarding the location of the flats etc, which we have said that we will try to honour. We have formed a committee with DDA officials and RWA members to discuss and reach a consensus. We will start the redevelopment work once the residents finalise one of the three options we have given to them,” said a DDA official, asking not to be named.

At present, there are 336 flats (224 high income group (HIG) and 112 middle income group ) at the housing complex, and DDA plans to construct around 180 or more additional flats to recover the cost of reconstruction, said a senior DDA official.

Bhupinder Chaudhary, a professor at Delhi University who bought a HIG flat in 2015, said, “Residents are paying a price for DDA’s mistake and negligence. Residents have paid for the flats and other facilities such as green spaces etc. The land belongs to the residents. Why should DDA construct additional flats to recover the cost of construction?”

Last week, RWA held a meeting with DDA officials where they raised their concerns about the three options. “We have asked DDA to share the redevelopment plan with us,” said Chaudhary.

The other two options, RWA members said, were also not acceptable. RWA president Kumar said that DDA is paying simple interest on the amount paid by residents at the time of allotment in 2010 and in subsequent housing schemes. But residents seek 15% compound interest. “We paid around ₹75 lakh at the time of purchase in 2012 for HIG. We want DDA to pay us 15% compounded interest, as per their policy for late payment. When allottees are asked to pay 15% in case of late payment, then why shouldn’t DDA pay the same amount to us? It is their fault and we have suffered for nearly 11 years,” said Kumar.

Besides, the option to swap the house with the same category in other parts of the city is also being accepted by residents as their cost is more than they originally paid, Kumar said, “They are offering us flats in Narela and Dwarka, which cost around ₹2 crore. Firstly, there are no takers for these flats, as DDA has been unable to sell them in the past. Secondly, these flats cost around ₹2 crore and above. We will have to pay additional money. Therefore, it is not an option.”

DDA is responsible for the maintenance of the flat at the original structure for a period of 30 years. In January, taking a serious view of the situation, the LG ordered DDA to redevelop the entire complex and rehabilitate the residents in the interim. He also ordered for immediate initiation of criminal proceedings against the contractors/builders/construction agencies and a vigilance inquiry to identify all officers/ officials responsible for lapses.