PMK urges govt to rollback hike, reduce guideline values for apartments

CHENNAI: Pointing out that the increase in composite value for registering apartments will shatter the dreams of middle class families, PMK founder S Ramadoss urged the government to roll back the hike and make reforms in the housing department so that poor could buy their own houses.

While condemning the hike, the senior leader, in a statement, said that despite the expert committee formed to fix guideline values yet to submit its report, the state registration department has increased the composite guideline value arbitrarily.

"For example, guideline value for an apartment in Mylapore has been fixed as Rs. 16,000 per sqft (basic composite value), Rs. 18,000 per sqft (premium composite value) and Rs. 22,000 per sqft (ultra premium composite value). Earlier, the guideline values were fixed based on street. If Mylapore has 200 streets, the guideline value is some streets might have been Rs. 5,000 per sqft. Now, value in all the streets will be Rs. 16,000," he pointed out.

He added Tamil Nadu Housing Board has constructed apartment buildings in 2 places and the rate has been fixed as Rs. 8,571 per sqft. Even though homebuyers are not ready to buy at the rate, value has doubled. During the last 9 months, the registration charges have increased by 244 per cent.

"Usually, market value is higher than the guideline value. As the guideline has been increased, the market rate is lower that the guideline value as of now. If the builders increase the market value, middle class families could not buy houses in Chennai. Is this the government's expectation?" he asked.