Property prices in Noida are going to get more expensive in the coming days. At the Noida Authority Board meeting held on April 23, the allocation rates for residential plots, collective housing and institutional plots were increased from 6 to 10 percent.
Due to higher land allocation rates, people will have to spend more money to create industries and build houses.
Also in 2022, the Noida Authority had increased grant rates by 10-15%. Also this year, property prices have been increased by 10%.
In the board meeting held under the chairmanship of Manoj Kumar Singh, Commissioner for Infrastructure and Industrial Development and Chairman of the Noida Authority, 19 proposals were put forward. During the meeting, a maximum increase of 10% was made in the category e residential sectors. On the other hand, the land prices of the residential sectors of category A+ remain unchanged.
While the rates for plots in the sectors of categories A, B, C and D have been increased by 6%. There were no rate increases for residential buildings and commercial properties. The Noida Authority had received higher rates in the industrial land auction in the past few months.
In such a situation, the property rates for phases 1, 2 and 3 of the industrial zone were increased by 6%. Also in the institutional real estate sector, there was a 6% increase in IT/ITES and data center usage properties located in Phases 1, 2 and 3.
Before August 11, 2022, the cost of residential plots in sectors — 102, 115, 158 and 162, etc., was 36,200 square meters. Now, the base price to buy land in these category e sectors has become Rs 45,380 per square meter. This too will be auctioned during the online auction and the land will be awarded to the highest bidder above this base price.
This means that a square meter of land has become more expensive by Rs 9,180 in just eight months. If this increase is viewed as a percentage, then there has been an increase of approximately 24 percent. Land prices are continuously rising due to two increases in two months.
On August 11, 2022, real estate prices were increased by approximately 14% and at the meeting on April 23, 2023, the proposal to increase prices by 10% was approved.
If we talk about available land in the industrial sector, there has been an increase of about 40% in just eight months, while the price of gold in the same period has increased by 24-28%. Hence, it remains to be seen that land available for residential and industrial works in Noida is growing faster than the price of gold.
When a proposal to increase the property price is presented at the board meeting, a lot of paperwork is done before that by any authority. The research is done as well as a team working on it. A committee is formed by the authority to raise the price of land.
This commission sets the land prices per square meter by adding land acquisition expenses, development expenses, external development expenses, maintenance expenses and other expenses. The category and location are also considered along with the consumer price index set by the Reserve Bank of India. There has been a six percent increase in this index over the past fiscal year.
Land prices are skyrocketing in Noida and Greater Noida. The town planners are not surprised with this decision as they say it had to happen because the way the town planning of Noida and then Greater Noida was done, they are going to be NCR’s most expensive properties in the time to come.
Urban planner Abhinav Singh Chauhan told IANS that given the way commercial sectors have been set up here, roads built, transport facilities etc, prices here are bound to rise. Along with this, now the transport network is set up here.
He said the most important thing that the NOIDA authority completed on time was town planning and because of this further planning was done keeping the future in mind.
After Noida, Greater Noida and Yamuna Authority where the much talked about projects will see the light of day. As a result, land prices continually hit the roof.
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(This story has not been edited by News18 staff and is published from a syndicated news agency feed)