No sale of corner sites in Karnataka till layout completion

BENGALURU: The state government on Thursday resolved to ban the sale of corner sites in Karnataka unless the layout is completely developed and ready for handover.
Briefing the media after the cabinet meeting, law minister Basavaraj Bommai said the government has decided to bring an amendment to the Karnataka Town and Country Planning Act (KTCP) that will force all private developers to hand over the land meant for the corner sites in a proposed layout to the local planning authority or urban development authority for the duration of the layout development.
The intent behind the government’s decision has been driven by the fact that a lot many of private developers have failed to complete the layouts but made their profits by selling the corner sites at a premium rate before leaving the buyers in the lurch.
This also has left the state government lift the heavy work of completing the layouts as it would have given its stamp of approval.
Justifying the same, Bommai said: “The intent is simple. We will hold on to the corner sites as a deposit from the private developers till they complete the layout development. So, in case, the private developers fail to complete the project then we will sell the corner sites and invest in the completion of the project.”
Bommai said the amendment would mean that the sale of sites will now change from 40:60 ratio before completion and after completion to 40:30:30 ratio for before completion, after completion and finally sale of the corner sites.