Gujarat Increase In Jantri to Create Hurdles for Redevelopment
Even as the buzz about rise in jantri rates from next month gets stronger, developers are having a rethink about whether to go ahead with redevelopment projects. In the urban development department, jantri rates are set to be revised from the start of the next financial year. However, uncertainty prevails as to how much the hike will be. Realty experts aver that a minor change in jantri rates would be fine given that it has not been changed for the past 10 years. But a major hike could discourage developers to undertake redevelopment projects as input costs would increase heavily. If the jantri rates change much, it is possible that developers might have to rework all the finances and assess the viability. Such a scenario might put redevelopment in jeopardy and deprive existing owners of new houses in place of 25-30-year-old small and dilapidated ones.
Tags : News/Views Gujarat redevelopment Jantri