No New Projects, Defaulters Rising, Real Estate News, ET RealEstate

August 5, 2024
2 mins read
No New Projects, Defaulters Rising, Real Estate News, ET RealEstate


<p>Representative image </p>
Representative image

CHANDIGARH: Once the key driver of housing in the city, the Chandigarh Housing Board (CHB) is fast sliding into irrelevance. Failing to come up with new residential projects since 2016 is a key indicative of its existential crisis, but it is not the only one.

More than 15,000 of its allottees owe it more than Rs 65 crore in outstanding rental dues.

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Its warnings, and notices to the defaulters haven’t resulted in any major recoveries. More significantly, its eviction drives against defaulters have failed, and evicted allottees have reoccupied the premises time and again.

There are several such instances wherein the CHB cancelled the allotment and thereafter initiated the eviction process against rent defaulters, but even after multiple years of efforts it failed to complete the eviction process.

For instance, a house allotment was cancelled in 2008 in its Sector 56 project for non-payment of dues. After two-year’s eviction proceedings, the board finally evicted the defaulter in 2010. But the dwelling unit was again occupied in 2012. CHB also got an FIR registered against the illegal occupation of the house. After going through eviction proceedings and police FIR, the CHB again made a move in 2016 to get the house evicted but failed to do so.

“In the same project, the CHB made attempts to evict defaulters in at least five dwelling units in the last decade. In some case, evictions happened but the premises were re-occupied. In other cases, eviction was planned several times but could not be conducted,” said an official.

The board, over the years, has allocated around 18,138 units under the small-flats scheme, which also includes 2,000 units under the Affordable Rental Housing Complex (ARHC).

The purpose of these flats was to provide housing exclusively for the allottees and their family members.

The residential units are located in different areas of the city, such as sectors 49, 56, 38 (West), Dhanas, Industrial Area, Mauli Jagran, Ram Darbar, Maloya (small flats), and Maloya (ARHC). The allocation of these flats aims to provide affordable housing options to eligible individuals and families while ensuring that the units are used for their intended purpose and not misused or transferred to others.

The monthly rent for these units is set at Rs 800 for the first five years, after which it will increase by 20% every five years.

Another major violation that the CHB has failed to stop is sub-letting and illegal occupants in its dwelling units. These flats cannot be sold, sublet, transferred or handed over to anyone else.

A door-to-door survey conducted by the board a couple of years ago showed that out of the total 18,138 small flats/ARHCS flats, 15,995 were retained by the original allottees. Out of the remaining 2,143 small flats, 1,117 were found occupied by unauthorised persons.

“Earlier this month, CHB cancelled the allotment of 16 units, but there was strong political opposition to the move. Protests were organised against the drive. Similar political opposition to CHB efforts to cancel and evict defaulters has been seen over the years. Additionally, there are multiple steps and appeal options with the defaulters to delay the eviction process,” the official said.

  • Published On Aug 5, 2024 at 12:00 PM IST

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