2 years on, collector rates set for 10% increase in Chandigarh

Dushyant Singh Pundir

Chandigarh, April 26

Buying a property in the city is likely to get dearer with the UT Administration mulling a nearly 10% increase in collector rates. The administration has decided to revise the collector rates after two years, said an official, adding a notification in this regard was likely to be issued in the first week of May.

The rates were reviewed at a meeting held under the chairmanship of the Deputy Commissioner recently and were likely to be hiked by around 10%, said the official.

The new collector rates would be increased after thoroughly examining the sale deeds registered as well as a survey of markets, villages and residential areas.

Sale deeds to be examined before nod

• New collector rates will be increased after examining sale deeds registered as well as a survey of markets, villages and residential areas
• UT last revised rates in April 2021 after a gap of four years. Rates of commercial properties were slashed by 10% and industrial plots 5%
• These were, however, enhanced for agricultural land by 10%, while there was no change in case of residential properties
• Collector rate is minimum property value below which it cannot be registered with govt.
• On this, stamp duty is also paid

The administration had last revised the rates in April 2021 after a gap of four years, slashing these by 10% for commercial properties and 5% for industrial plots. However, the rates for agricultural land had been enhanced by 10%, while there was no change in case of residential properties.

On the other hand, property dealers and traders have been demanding a reduction in collector rates in the city. The rates vary from sector to sector. Chandigarh has the highest rates in the tricity.

Highest in tricity area, slash it by 40%

‘UT must reduce rates by 40%. There is a mismatch in existing rates vis-à-vis market prices. Besides, these are much higher than in Mohali & Panchkula.’

— Kamaljit Singh Panchhi, president, Property Federation Chandigarh

Kamaljit Singh Panchhi, president, Property Federation Chandigarh, urged the administration to reconsider the rates in UT. “The administration must survey the rates in adjoining Mohali and Panchkula. We have been stressing the need for a revision as there is a mismatch in the existing rates vis-à-vis the market rates. Besides, these are much higher than in adjoining areas,” he said.

Panchhi said even if the administration reduced the collector rates by 40%, it would still earn a good revenue in shape of stamp duty.

Commercial units

Area/category                         Collector rate*

Sector 17 showroom                    Rs 5,25,405

Sec 22, 34, 35 showroom            Rs 3,75,289

Industrial Area I & II                      Rs 62,599

Madhya Marg, Sec-34/35 road     Rs 3,75,289

Mani Majra motor market              Rs 2,77,992

Agricultural land                            Rs 1,27,05,000**

(*per square yard; **per acre)

Residential properties

For CHB/society flats, rates are calculated on the basis of covered area per square foot.

Floor              Rate*

Ground           Rs 4,500

First                Rs 4,000

Second           Rs 3,690

Third               Rs 3,200

(*per square foot)