Lucknow: Property prices may go north

Property prices are expected to go up as the district administration has begun its exercise to revise circle rates after a gap of two years. The fresh rates are expected to roll out from August.

Property prices are expected to go up as the district administration has begun its exercise to revise circle rates after a gap of two years. The fresh rates are expected to roll out from August.

The fresh rates are expected to roll out from August. (Representative image)

“Revenues have taken a hit as circle rates remained unchanged in the last two years. In such a situation, there is a dire need to revise circle rates, especially in the city areas,” said Kaushal Raj Sharma, district magistrate.

Some officials also speculated a change in the circle rate calculation formula. They said areas including Gomti Nagar, Hazratganj, Aminabad, Qaiserbagh, Mahanagar and others may witness a steep rise in rates of property, after the revision of circle rates.

The DM directed the officers concerned to carry out a thorough survey of the city areas prior to the revision of circle rates.

The circle rates were last revised in 2015. At that time, rates of commercial properties were decreased. Under the tax revision (for commercial properties), Sadar tehsil witnessed a 20-30% reduction in the rates of shops.

The areas including Mahanagar, Hazratganj, Shivaji Marg, Vibhuti Khand, Aliganj, Khunkhunji Road, Alambagh, Kanpur Road, Rae Bareli Road also saw a steep fall in rates of commercial properties.

However, the rates of non-agriculture land (even in city limits) witnessed a hike of 5-10%. The administration had also proposed a 20-25% hike in circle rates of land falling within 8-km radius of Lucknow Municipal Corporation (LMC) limits.