The Noida Authority on the last week has reduced the conversion rate of land from 25% to 10%. The move was implemented by the Noida Authority considering the high demand and in the sidelines of a similar policy prevailing in Delhi. The much awaited move has come from the Uttar Pradesh government after they had approved mixed land usage more than a year ago.
Before the renewal, the land owner had to pay an ‘impact fee’ to the authority to convert the land which was 25% of the cost difference between prevailing residential or industrial rate and the reserve price of the commercial rate of the area where the property is located.
According to the chairman of Noida Authority, the impact fee will be reduced to 10% but it should be paid in lump sum. Officials added that electrical and water charges will be applicable as per commercial rates.
The Chairman also added that the rest of existing policy will remain unchanged. As per the amended building regulation of Noida, mixed land use is permitted to commercial activity in residential and industrial plots situated on 24 metre wide roads. The guest houses and banks will be allowed the residential plot. On the other hand, auto showrooms, art galleries and museums falls under industrial plots.
Presently, the mixed land use is allowed on 25% of permissible FAR (Floor Area Ratio) on the ground floor of industrial plots. Guest houses and banks are permitted on all floors upto permissible FAR limit on residential plots. The policy also supports lands which are converted to mixed land use as per the prevailing rules of the Noida Master Plan 2031.
For industrial plots these include office, health club, internet café, daycare centre, dispensary, taxi stand, bank, showroom for display etc. Support activities for the residential plots include office, canteen, health centre, ATM, dispensary and personal service shop.