After months of dilly-dallying, the Delhi government today increased the circle rates by up to three times for sale and purchase of properties in all colonies across the city. This is likely to lead to a rise in real estate prices.
The Delhi Cabinet, presided over by Chief Minister Sheila Dikshit, has fixed Rs 9,000 per square metre as the lowest rate, while the upper limit will be Rs 1,25,000 per sq metre, instead of Rs 43,000 at present. The circle rate is the minimum rate for valuation of land for residential use, which differs for various categories of colonies.
According to the revised rates, Rs 1.25 lakh per sq m has been fixed for posh colonies like Defence Colony, Greater Kailash, Gulmohar Park, Panchsheel Enclave, Anandlok, Green Park, Hauz Khas and Nehru Place.
Revenue Minister Raj Kumar Chouhan said the government expected to see a rise of over Rs 400 crore in revenue earning, as the collection through registration fee would increase due to a rise in circle rates.
The cabinet also decided to do away with fixing the rates based on categories of colonies decided by the Municipal Corporation od Delhi and prepared a fresh list of 2,480 colonies for which rates have been finalised considering the available infrastructure and other parameters.
“We have decided to abolish the existing eight categories of colonies. The Revenue department has identified 2,480 colonies for which the new rates have been fixed,” Chief Minister Sheila Dikshit said.
