ISLAMABAD: The Capital Development Authority (CDA) has proposed stringent regulations regarding housing schemes, including one aimed at making them bound to get transfer letters of plots vetted from the the civic agency.

The new regulations, which are yet to be notified, were approved by the CDA board last month.

The proposed regulations stated that the possession of individual plots in any scheme shall not be handed over to allottees by the owners until the entire scheme is fully developed and completion certificate obtained by the sponsors from the authority.

Through this step, the practice of overselling of plots by societies will be checked.

The board had also decided that in order to facilitate construction needs of the allottees/transferees, sponsors (owners of societies or projects) may seek prior permission from the authority for the handing over of the plots by submitting an undertaking to complete the development work after the issuance of the NOC.

Possession of plots shall not be handed over to allottees until scheme is fully developed

Accordingly, each allottees/transferees will apply to concerned Building Control Directorate CDA for the sanction of their building plans to be forwarded by sponsors.

The board also decided that the interest of general public and allottees will be secured and in case of default by sponsors, the individual allottees/transferees of the scheme/project shall be extended the approval for the construction of their houses/buildings in accordance with the bylaws of the authority.

Any sponsor of housing schemes/projects “shall not announce any real estate project; make any publication or advertisement of real estate projects; and accept any advances or deposits in any form whatsoever against any booking to sell unless it has obtained the approval from the authority of the layout plan and executed the transferred and mortgaged deeds under this regulation in case of a housing scheme and building plans in case of apartment/commercial project.”

The sponsors shall provide to the CDA the details of all bank accounts and annual audit reports of the scheme. The regulations stated that allotment letters to be issued by sponsors shall be shared with the CDA within three days of its issuance.

No allotment letter, whether original, provisional or through transfer should bear any credence unless vetted (with signed and stamped) by the concerned director specifically authorised by the member (P&D), CDA.

The regulations stated that only those plots will be allowed to allot/transfer which are part of approved of layout plan of scheme/project.

Commercialisation charges

Under the new regulations, the CDA board fixed commerlisation fee at Rs3500 per square yard. However, many officials said this fee should have been Rs7500 like the fee for big plots.

In January this year, the commercialisation fee for commercial plots was Rs7500 per square yard with maximum 55pc ground coverage for the over 100 kanal plots. However, CDA’s planning wing said the fee was only for big plots and there was no proper rate for small ones.

The planning wing stated the Rs7500 fee is for commercial schemes having over 20 kanal and there was no proper fee structure for standalone commercial projects, which is being proposed Rs3500 per square yard.

However, sources said that now the CDA management had decided to revisit the proposed rate and it was expected that the civic agency will change its decision on the fee and it will be at par with the rate of big plots to avoid financial loss to the authority. Chairman CDA Noorul Amin Mengal told Dawn that CDA is going to revisit the commercialisation charges.

“We will revist the issue of commercialization charges,” he said.

Published in Dawn, May 29th, 2023