Greater Hyderabad Municipal Corporation (GHMC) on Feb 6, 2020, has unveiled an online portal for Transfer of Development Right (TDR) transactions to establish trust among owners and TDR certificate holders. The portal named TDR Bank was inaugurated by KT Rama Rao, Minister of Municipal Administration and Urban Development Ministry (MAUD).
For the past two months, GHMC was making endeavors to finalize the TDR bank based on the report sent by the Pune-based agency Softech Engineers Pvt Ltd. The agency took full responsibility for submitting a report and henced worked closely with GHMC, HMDA, and departments that issue online building applications through DPMS Telangana.
GHMC wanted to set up TDR banks so that interested people can buy TDRs online since this portal will serve as a coordinating body between TDR sellers and buyers. The portal supports features such as issue, usage, selling of TDR, and one can also view current data on certificates. As of now, almost 1,000 property owners have earned TDR certificates who have sacrificed their lands for road widening.
What is Transfer of Development Right (TDR)?
Transfer of Development Right (TDR) is a certificate that is awarded for the landowners that gave up land free of charge for the public use, such as street widening or covered in a recreation area, etc. to name a few. TDS certificate can be leased, transferred, or even can be sold. TDR is certified by the GHMC, HMDA, or particular governing urban local body. The main purpose of TDR bank GHMC is to reduce the time required for the entire process of land acquisition in the local areas for public purposes, which is rather a complicated and time-consuming task.
Who can get a TDR Certificate?
The Transfer of Development Right certificate shall be awarded for the transfer of property for the contribution to the local authority or urban development agency. In case of the restoration and growth of lakes, development of natural buffers, road improvement plan implemented and built on peripheral roads in community planning schemes, etc.
According to the registration department documents, TDR is granted based on the proportional land value that is equal quantities to both exported and imported areas. In the applicability of TDR, the competent authority shall have the discretion. TDR is not permissible if it is an unauthorized building or illegal registered land.
Advantages of TDR Online Portal For Land Owners
As of now, the issuing and use of TDR certificates are usually carried out manually. In order to make the mechanism more citizen-friendly, the GHMC has created the TDR bank. Instead of paying compensation, GHMC has decided to give property owners the TDR benefits who lost their properties for public infrastructural developments.
In December 2017, the State government introduced a new TDR scheme with a 400% rise in TDR for sites that have been affected by road extension and 200% for the sites impacted by reservoirs, water bodies, etc. According to the TDR, owners who lost their land during the government acquisition process and didn’t wish for monetary compensation are awarded TDR certificates.
TDR bank app has all TDR transaction details and has an option to transform a manual TDR certificate into digital form. As per the standards, users are also allowed to sell the digital transfer certificate online at much ease. This certificate grants the developer the right to build an additional built area on their property. The document is the permit to construct additional built areas in all parts of the city. The TDR certificate may be sold if the owner does not want an additional floor to be built or want to expand the built-up area.
The revised TDR program was introduced, and the number of TDR approvals increased substantially and was more beneficial for property owners. Meanwhile, in the HMDA authority, the government has expanded the use of TDR certificates to ORR. The new manual holders of the TDR certificates may upgrade and sell their permits in a digital format.
Nowadays, most property owners are supporting Transfer of Development Right certificates rather than compensation as they are receiving four times the benefits. In fact, as of now, the GHMC has issued approximately 550 plus TDR certificates with much more to come. With the new launch of TDR Bank, this process is about to speed up and may attract more landowners in the city.
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