The UP Housing Board has hiked circle rates in townships administered by it across the state. In Ghaziabad, the revised rates will affect properties in Vasundhara and Siddharth Vihar, which are close to the RapidX corridor that is scheduled to open this month.
Officials said the rates would be effective from April 1. The board decided to hike the rates in Vasundhara and Siddharth Vihar as the two areas have been witnessing a surge in demand for properties because of its proximity to the RapidX route, they said.
“The board has hiked circle rates in all townships administered by it in the state. In Ghaziabad, the revision will be applicable only in Vasundhara and Siddharth Vihar,” said Sunil Sharma, an estate management officer at the board.
The revision will mean those buying houses will have to pay more stamp duty, which will effectively increase the overall property rate.
For flats developed by private companies and for individual plots in Siddharth Vihar, the circle rate has been hiked by Rs 850/sqm. Officials said there were around a dozen such projects coming up in Siddharth Vihar, which is spread across 635 acres.
In Vasundhara, which is divided into 19 sectors, the new circle rate will depend on the sector number.
For instance, the rate has been hiked to Rs 68,300/sqm from Rs 66,300/sqm for sectors with even numbers. In areas with odd numbers, the revised rate is now Rs 61,900/sqm against Rs 59,900/sqm last year.
The rates, however, will stay the same for low-income group properties. For instance, there has been no change in the circle rate (Rs 55,600/sqm) for Brahmaputra Apartment in Siddharth Vihar. Similarly, in the Ganga, Yamuna and Hindon apartments in the area, there has been no revision in last year’s circle rate of Rs 43,800/sqm.
Asked why the hike, a senior board official said both Vasundhara and Siddharth Vihar came under the “influence zone” because of their proximity to the RapidX corridor.
“First, market sentiments have picked up post pandemic in the realty sector. Second, the hike is not that steep. I think the hike in circle rate is justifiable with the rising demand for property in these two areas,” the official said.
Credai, the association of realtors, said the hike was uncalled for. “RBI has already hiked home loan rates from 6.5% to 9%, which will anyway burn a hole in the pocket of buyers. The hike in circle rate will deal another blow to them,” said Gaurav Gupta, secretary of Credai’s NCR chapter.