“Future of India is in Tier II, III and Tier IV cities like Mysuru”

Mysuru: National President of Confederation of Real Estate Developers’ Associations of India (CREDAI) Jaxay Shah has said that the future of India is in Tier II, III and Tier IV cities and both small and big developers and builders should join hands to build a new and vibrant India.

He was addressing a press conference as part of the two-day New India Summit-2018, organised by Confederation of Real Estate Developers’ Association of India (CREDAI) that began yesterday at the Convocation Hall of Karnataka State Open University (KSOU) in city.

The Summit is designed to deliberate on the growth of real estate sector in Tier II, III and IV cities as part of the vision of New India. CREDAI chose to host its New India Summit in Mysuru, which has made it to the list of 45 cities having the potential to become a new mega city as per a CREDAI report titled “The Dawn of India’s Future Cities”.

Jaxay Shah said, “Even Bengaluru was a Tier II city, a couple of decades ago. Similarly, Mysuru has the potential to grow into a Metro. But connectivity is the only problem with Mysuru. Reduce the travel time and see the change. The government and other stakeholders should build a ‘Brand Mysuru’,” he said.

He pinned hopes on women and youth wings of CREDAI and said that they were taking up voluntary work in small towns, as internship to understand the pulse of the nation. “Next month they would work at the Statue of Unity in Gujarat. Similarly, 25 towns have been identified for internships,” he said.

‘Reduce GST’

CREDAI Chairman Getamber Anand said that the government should help real estate sector to bounce back as it provides the largest number of employment opportunities for both skilled and unskilled workers.

He sought a reduction in Goods and Services Tax (GST) from the existing 12 per cent to 8 per cent across all segments. “In view of real estate being subject to both GST and stamp duty, there is a case that the rate of GST on real estate, which stands at 12 per cent, needs to be reduced to 8 per cent across all segments and not just for houses up to 60 square metres”, he said.

Single window system

The State Urban Development Department will soon set up a single-window system for builders to not only submit building plans, but also obtain No Objection Certificates (NOCs) from different government agencies.

Minister for Urban Development and Housing U.T. Khader said the system is aimed at addressing problems faced by builders who are forced to run from pillar to post for clearances by various departments. Once, the system comes into force, Khader explained the builders will have to apply online and the software will automatically accept the applications adhering to the rules. If the applications are not as per the rules, the software will automatically reject them. After the plan is accepted, the builders currently need to obtain NOCs from 14 to 15 different agencies.

Under the single-window system, the computer will generate applications for NOCs to all the different government agencies if the building plan is accepted. “These departments have to give NOC in one week. If they fail, NOC is deemed to have been given,” he said.