BBMP Might Implement Betterment Fee For Sites In Illegal Layouts

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BBMP The recent decision by the Bruhat Bangalore Mahanagara Palike (BBMP) to implement differential betterment fee for sites in illegal layouts is expected to provide relief to people owning properties in such areas. However, this decision is yet to be finalized by the Karnataka High Court, which had earlier rejected two such notifications by the BBMP. Although property owners in illegal layouts might have the required land use conversion clearances it is the absence of clearances from the civic agencies that will attract the betterment fee. Similarly people owning denotified lands from various government agencies will also have to pay the betterment charges.

This decision by the BBMP was taken on January 29, 2014 in order to impel such plot owners to acquire an ‘A’ Khata since they currently have only ‘B’ Khata. One should apply for an A Khata by submitting the permission for conversion of land issued by the Deputy Commissioner along with the betterment charges to the BBMP. Owners with ‘B’ Khata are neither authorized to seek bank loans nor have approvals from the civic agencies such as BMRDA and BDA. Relying on these betterment charges, the BBMP that is currently cash strapped is anticipating generating additional revenue amount of at least Rs.200 crore. Besides adding an additional income source to the BBMP, this move will also make the process of building houses and selling sites an easier one for property owners. A large number of such plots that will generate revenue are situated on the outskirts of Bangalore and fall under the BBMP jurisdiction. The betterment fee will be implemented only on those lands with land use conversion clearances and not on revenue sites. Earlier the betterment fee decided by the BBMP was uniform at Rs.550 but they have now submitted differentiated revised rates to the Karnataka High Court.

There are two different fee slabs fixed by the civic body
* Rs.250 sq. ft., for properties measuring up to 1000 sq. m.
* Rs.200 for plots measuring more than 1,000 sq., m.

According to the BBMP, the fee slabs were fixed based on the money spent and to-be- spent for the infrastructural development in main areas and newly added areas of Bangalore.

The payment of the betterment fee can be done in four installments but if a person has to pay the betterment fee in more than 4 installments he/she is subject to a monthly interest of 1.5 %. BBMP also stated that these plots can be etched from lands only if they have permissions for non-agricultural use, and can also carve them from the denotified lands by various organizations such as the BDA, KHB, KIADB etc. Therefore, if BBMP implements the betterment fee owners of the following plots stand to benefit:

* plots that have land use conversion clearance but no layout plan approvals from the civic agencies
* plots on lands that are denotified by the government agencies

One can expect this rule implemented by the BBMP once they get an approval from the Karnataka High Court. Our team is in touch and the latest is that the BBMP officials are awaiting an official notification to this effect.
Watch this space for the updated news on the betterment charges by the BBMP.

 

Update : Confirming the news, BBMP commissioner, M Lakshminarayana said, “Orders have been issued and now it is final that BBMP will be collecting improvement charges. We have a chance to collect a crore of rupees in the form of revenue and it will also benefit the land owners whose sites or land have already been converted by deputy commissioner’s office from agricultural to residential or commercial purposes.” Effective March 6, 2014, land owners can avail of the benefit by paying the betterment charges at their nearest assistant revenue office (ARO).

A 2-tier system is expected to be implemented to collect the betterment fee effective 2007. The structure is such that the newly added 98 areas and the 111 villages will have to pay a betterment fee of Rs.250/per sq.mt and the older 100 wards that come under the main city will pay Rs.200/per sq. mt.

      
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90 thoughts on “BBMP Might Implement Betterment Fee For Sites In Illegal Layouts

  1. Archana

    Hi,

    We are staying in Vidhyaranyapura and apartment is G+4 as per approved plan and we are staying in 1 st floor and our home loan is sanctioned by reliance home finance.

    Now builder has constructed 4 penthouse on the 5 th floor on roof top terrace which is not approved under plan and we wish to book that being a very good ventilation flat.

    Builder has agreed to Provide all khata transfer, meter charges car parking documents.

    Kindly advice if its safe to book that if yes what all documents that we need to take from builder and what are consequences that we might need to face in future any penalty to get it approved or will it get demolished.

    Reply
    1. admin Post author

      Hi Archana

      Any additional construction which being not part of the approved plan makes the complete building unapproved for any Occupancy Certificate, which finally leads to not getting A Khata for the property. In such case, concerned authority is liable to demolish such unapproved construction at a later date or can be penalised towards occupying such development (not authorized by Govt. department). Its advisable to not to go ahead with such unapproved development.

      Reply
  2. Niranjan

    Hi I am planning to buy site in a layout of Whitefield. Builder converted this land from agriculture to Industrial or Hitech purpose. Is it possible construct house in this layout where builder had provided 33 feet road width for all the sites. If we have to apply for change of land use from Industrial to Residential is it possible, Shall we be getting plan approval if i go for construction. Please help me in this regard.

    Reply
    1. admin Post author

      Hi Niranjan

      You are not supposed to construct house for residential reasons on a property which is for Industrial purpose. You need to consult with local DC office on for the conversion. Can also go through a lawyer towards the conversion application from Industrial to Residential. Upon such approval, you need to apply for Building plan at BBMP office and based on approval, you can initiate construction.

      Reply
  3. Ravi

    Hi
    I’m planning to purchase panchayat site(30*40) in gated community, near Dommasandra, however builder said they don’t have DC conversion as its panchayat E-katha and Canfin & DHFL providing loan for the same. Is this risk?

    Reply
    1. admin Post author

      Hi Ravi

      Even if its Panchayat E-Khata, the conversion is required. The conversion will be for agricultural to residential. Without that, your property will be under agricultural site and you can’t use that for residential purpose. For Agricultural land also, E-Khata is issued. Such loans are been approved by NBFI’s (non banking financial instituations) as well but not by nationalised banks. We advice that upon conversion of land to residential to go ahead.

      Reply
  4. Rana Pratap

    Hi, I am planning to buy resale independent house in a village near to Sarjapur. Owner has panchayat form 9 11, sale deed, mother deed, RTC, building plan approval, EC 1989 to 2004, 2004 to till date and tax receipts on his name and electricity name conversion from previous owner to current owner. Layout plan and residential conversion are not available with him. Owner told that I will not get home loan on that property. Even though I asked a loan agent, he told me that he can arrange loan from some nationalized or private bank. Please suggest me if I am in risk and can I go with property.

    Reply
    1. admin Post author

      Hi Rana,

      The independent house was possibly built without the required building plan approval from the local town planning authority. However if the residential conversion called DC conversion is itself not yet done, then it becomes an illegal construction because the land use is agricultural. Please check on this and consult a competent lawyer with all the papers before you decide on purchasing the property. Banks especially private sector or NBFCs will provide loans based on your ability to repay and may not necessarily scrutinise and legally vet the property.

      Reply
  5. sachin pitre

    Hello,\r\n\r\nI have received a sanctioned plan from the builder in sarjapur road, its a 1210 sq ft area apartment & is a 2 bhk (G+4 apartment consisting 20 flats), in a site visit the builder showed me a customized apartment with the same size of 1210 sq ft which has been converted from a 2 bhk to a 3 bhk, I wanted to understand if this is a major deviation and will that be a problem for OC & CC in future, Just to give you a heads up this is not in the plan at all, but still the buyer has asked for a customization & the builder happily has done it. Kindly let me know if this could be a major problem for OC & CC, will BBMP or the concerned authority will demolish the structure?\r\n\r\nRegards\r\nSachin

    Reply
    1. admin Post author

      Hi Sachin\n\nAny deviation from the plan will not merit an OC and without that the entire property is not eligible for the A-Khata. While bribes may keep the property intact, it may also lead to penalties if it ever comes up for regularisation. We cannot comment on whether something is a major deviation or not, because when a drive to regularised is actually rolled out then the rules and penalties will also be announced along with. So at this juncture it can only be mere speculation. If your flat is strictly as per the plan sanction and there is another one that deviates, then yours may be saved from demolition. Also it depends on whether the dimensions of the flat were also changed and how may such units are deviating and if the builder is building units in excess of the plan sanction. Please consult a lawyer with the necessary papers to get a proper legal opinion.

      Reply
  6. M M KRISHNA

    I HAD PURCHASED A WAY PLOT IN NERLUR PANCHAYAT SITUATED ON BANGALURU HOSUR HIGH.I WOULD LIKE TO KNOW WHETHER THIS PANCHAYAT IS MERGED WITH BBMP

    Reply
    1. admin Post author

      Hi M M Krishna,\nThe only way to know this would be to approach the respective panchayat and enquire.\nOr you can check against this BBMP map from their site.\nhttp://bbmp.gov.in/en/web/guest/maps

      Reply
  7. buyer jg

    Hi, the builder has provided us with the CC (commencement certificate) endorsement obtained from BBMP in Oct last year. In the endorsement, I can see that there is a betterment charge mentioned. However, builder has paid only the basic fees and also given us receipt for the same. When we demanded for proper CC, they said that they are working it out and it should be available by the end of April. Construction seems to be full on and they are promising delivery by mid of next year. We have paid the booking amount on the condition that if CC is not obtained within a month as promised, we can cancel the booking and builder has provided written note on that. Can you please advise if it makes sense to purchase such a property even if they get CC? In case the builder does not get the CC, will he eventually impose the betterment amount on the flat owners? Shall we back off from the project? Thanks in advance.

    Reply
    1. admin Post author

      Hi \n\nThe commencement certificate is only a green signal from the concerned authority to start construction on the grounds that the legal title of the land is clear and that the building plan approval is obtained. The betterment charges if applicable have to be paid by the builder and if it is not done, you have every right to back out of the project if you think the builder is not keeping his promise.\n\nFurther, it is important to check whether the builder will provide an OC (occupancy certificate) when construction is completed which will be given only if the project adheres to the building plan approval. The builder won?t be able to give it if he is planning to make violations. And any such promise should be backed by appropriate clauses in the sale agreement. Then if he deviates you have a case that can be taken to consumer court for execution or appropriate penalty.\n\nYes, if the builder will not provide OC then you won?t get the A-Khata and possibly the betterment charges will then have to be footed by the purchasers at some future point of time.\n\nPlease consult a competent lawyer and also check with the builder on what he intends to do before you take a call. If you need assistance from HomeShikari, reach us at 080-67684444 or email us at services@homeshikari.com

      Reply
  8. AV Vinay

    Hi I purchased B khata House in Konanakunte Srinidhi layout in 2010 , i got loan approved from HDFC Bank, i am with the understanding that DC conversion is done and that is where Bank also approved loan, now i am getting doubts, when i verified with BBMP (ward 195) they said currently it cannot be converted to A khata until Government announces Betterment charges and we pay that.This area is under BBMP limits and roads,drainiage,lights ,water connection from BWSSB has all been done, how would i verify that is this DC converted and what are my chances to get it regularised once government announces the scheme.

    Reply
    1. admin Post author

      Hi Vinay\n\nThere was a time when banks were extending loans to all kinds of properties, but now most public and private sector banks don?t fund B-Khata properties. So that has changed in the recent past. However, I would tend to disagree that the bank may have funded a non-DC converted land because conversion of land use is absolutely important for it to be legal. So the property would have been DC converted and you may not have been aware of it. You may need to check for the documents or consult a competent lawyer to help you.\n\nGetting the A-khata is a totally different matter. The A-khata may not have been given because the building was constructed without approvals or had violations or the betterment charges applicable when the land falls under the jurisdiction of the BBMP was not paid. At this point when the Akrama Sakrama scheme is still held up in the court, no conversion from B-Khata to A-Khata will be possible.\n\nTo be able to ascertain what status your property is in, you should check with a lawyer after submitting a copy of all the documents you have. They will check if the conversion is done and if everything is in order. If everything is in order, then you will have to wait until the scheme is passed to be able to regularise it. If by chance, the land conversion is also not done, then that is required to be done first.\n\nIf you need help with checking the status and verifying the legal title of your property, you can email us at services@homeshikari.com or call us at 080-67684444

      Reply
  9. Ayyar

    Hi, Recently i purchased the revenue site in dommasandra village. I have to construct the house with the help of bank loan. But i came to know we will not get the loan since that is revenue site. i asked what is the procedure to convert the revenue site to non agricultural site. Now they are telling we cannot change the coversion from DC office. but there are many peoples are constructed the house and using it as well rent also. Peoples what they are telling us, If we got the constructing licence from respective panchyat then we start construct the house.\r\nIf we follow this procedure is ok for constructing the house. Kindly provide the clear idea .

    Reply
    1. admin Post author

      Hi Ayyar,\n\nA revenue site means it is classified as agricultural land and hence any construction either residential or commercial on such land would be deemed illegal unless it goes through the process of land use conversion at the DC?s office.\n\nConstruction may have happened but it would have happened with no approvals from any authority and hence they are for purposes to be considered illegal. Since this may now possibly come under the city limits you will not get approval from any panchayat and even if someone claims they are getting it for you, please don?t believe it.\n\nUnless DC conversion is done no construction should be ideally done. If you are doing still doing it, then consider that you are taking a risk. In some places, revenue sites have constructed houses and are getting a B-Khata and hoping that someday they will get away with it through a scheme like Akrama / Sakrama. However, be cautious that such regularisation will only be applicable to land use converted sites that have violated any regulations. In the case of revenue sites, the fundamental land use itself remains unchanged from agricultural use. So that is a bigger issue and we would have asked you to avoid buying such a site if the question was asked prior to buying.\n\nAnd DC conversion is usually taken up for reasonably large tracts of land, not single plots and essentially you can only try doing it along with all other site owners in that locality, not individually.

      Reply
  10. Joe

    I had shortlisted a property (land with house) at Bilishivale, Off Hennur Road, Byrathi Cross at Bangalore. The property is a resale and the layout has been developed by a reputed builder with all amenities. Wanted to seek your opinion on the purchase, as I plan to take a loan for purchasing this property. The property is not DC converted. However, this comes under BBMP and taxes have been paid regularly and a “B” khata. Wanted to know if the following:\r\nA) whether there will be any problem in future. ie, Will there be any demolition from the authorities in future.\r\nB) The property was developed in 2000 and the construction of the house completed in 2013. Can this be regularised under Akrama Sakrama, when it comes, to “A” khata. If so what would be the approx penalty levied for conversion, since the DC conversion order is not there. \r\nC) since the house does not have any plan approval, what will be the consequence.\r\nD) overall your recommendation of purchasing this property. Is it too risky to purchase this property.

    Reply
    1. admin Post author

      Hi Joe\n\nA reputed builder ought to have first converted the land use through DC conversion and then only should have built the property. That is a clear violation and is a much bigger issue than violation of building plan approvals after approvals have been obtained. Here no approvals were ever sought. All lands which fall on the outskirts were agricultural lands and hence the land use has to be first changed through DC conversion. Any residential or commercial property built without DC conversion will be deemed to be illegal. It doesn?t matter that taxes are paid since the B-khata is only a register entry to signify that taxes have been collected from a given property. It does not legalise or regularise the property in any way.\n\nA) Yes, there could be a problem unless you apply for DC conversion and get it done. That will cost a lot and is ideally to be done by the builder. He is pushing it onto home buyers to save on money.\n\nB) Unless, DC conversion is done no regularisation can be done even if Akrama Sakrama is passed and becomes legal. The cost of DC conversion needs to be worked and it cannot be done for an individual plot, it has to be done for the entire layout and that is something that is not under your control.\n\nC) Since there is NO approval, it is deemed to be illegal. It cannot be compared with a minor violation of setback area etc.\n\nD) No, too risky. We would not recommend it unless the builder has completed the DC conversion. Without that you are not permitted to build residential or commercial buildings on such land.

      Reply
  11. Santosh

    Hi Admin,\r\nFirstly, I appreciate your good work and prompt responses on various property questions . I have one too – I stay in Sarjapur Rd in an Apt which is G+4 (top flr penthouse not in layout permission) – constructed in Aug-13. Also Gym/clubhouse are on top of Apt which i believe is deviation. I was in lease throughout and the builder has offered me to buy this flat (top flr) for around 35% disc to mkt price as far as my estimate goes. Also assuming I buy it and rent, this property would fetch around 7% yield per annum which is quite decent I believe, so my question is- do you think its worth taking the risk? Akrama Sakrama in current form when it comes will it be applicable to penthouses also for deviation? If your answer is affirmative I would like to consult your Legal team for other doubts as I would want to consider the risk/return and then negotiate/discuss with the builder probably over this weekend.\r\n\r\nThanks,\r\nSantosh

    Reply
    1. admin Post author

      Hi Santhosh\n\nYes, 7% rental returns is pretty good. But you need to factor in whether the apartment will fall within the 50% deviation limit and you need to be doubly certain about that. Deviation will not only be calculated on FAR (floor area ratio) but also on setbacks. If there is too much of deviation then you could stuck if and when Akrama Sakrama comes into force in whatever mode. Also check if the building was completed before Oct.2013 because that is the cut off limit for the scheme as on this date, though it is still stuck in the courts. You need to figure out if the cost of acquisition will be lower than market, factoring the cost of penalties and regularisation costs that could be incurred in future. And remember that you are opting for the top most floor which is unapproved. It is risky play, but you are the best judge to ascertain if you can handle this risk and take a bet on handsome returns in the short term. Please do consult a competent lawyer on this before you decide on the purchase.

      Reply
  12. Jyothi Ravikumar

    I am buying a flat in RMV, Apartment at 4th Floor, it is B Katha property can i get it done through Akrama ? Sakrama by paying betterment charges to A Katha & building plan sanctioned only for G+3rd Floor not for 4th floor can i get sanction through Akrama ? Sakrama or what is the solution.

    Reply
    1. admin Post author

      Hi Jyothi Ravikumar,\n\nIf it is a B-Khata property then it is not possible to convert it into A-Khata right now. Only after Akrama Sakrama is implemented in toto can you assess if the property is eligible for it and then pay penalty charges, if eligible for the conversion. This is a clear case of violation and as assessment has to be done on the basis of setback violation and FAR (floor area ratio) violation and then computed. In any case, Akrama Sakrama is still not applicable. So you will have to wait.

      Reply
  13. Manjunatha G.R.

    Respected Sir,\r\n\r\n\r\nI have a small query, that is, my sister has site in Ganigarapalya and it is constructed ground plus 3 floors. My question is that the property is B Katha, how to change the property to A katha and how much it will cost. plot area is 1200 sq feet, ground floor 600 sq feet constructed, 1st floor 1000 sq feet constructed and 2nd floor 1000 sq feet constructed and 3rd floor 500 sqfeet constructed. We do not know what is betterment charges and how much it is, Please help me out. we need to get a loan on property. Please, please, please help me .

    Reply
    1. admin Post author

      Hi Manjunatha,\n\nA property that is B-Khata cannot be converted into A-Khata unless the Akrama-Sakrama is fully implemented. So you will have to wait for that to happen. Normally, one takes building plan approval from the authorities and then constructs the house. And if the constructed house is as per plan with less than 5% deviation, then it will be eligible for an A-Khata. However looks like in this case it was earlier under Gram Panchayat and you constructed without any approvals. So both betterment and penalty charges for any violation will be applicable.\n\nTill Akrama Sakrama comes into force, it won?t be possible to get the A-Khata. You can approach NBFCs like IndiaBulls or DHFL for a loan. They may give a loan depending on their norms. Public and Private sector banks surely won?t fund it

      Reply
  14. Sanyasi Raju

    I want to purchases flat in electronic city , where first 3 floors are bmrda approved and 4 th floor is gram panchayat one, Is this ok

    Reply
    1. admin Post author

      Raju\n\nThere is no concept of a single building being approved by multiple authorities unless they were constructed at different times when the jurisdiction was different. Any building plan should come under the approval of one of the authorities, BBMP, BDA, BMRDA and outside that with the town planning authority. Gram panchayat is not eligible to approve any building plans, whatsoever and that too it can’t approve only a 4th floor when the rest of the below floors are coming under the BMRDA.\n\nIt clearly means that only 3 floors are approved and the 4th is unapproved and is being constructed in violation. At this juncture we would not advise you to go with such an apartment. Nevertheless, please take a legal opinion from a competent lawyer before you proceed with this.

      Reply
  15. akshay

    Hi I saw a flat in the 3rd floor and the land is A khatha but the flats are not A khatha and they got the permission for slilt + 2 floors if I purchase this flats I will face any problems …is. There any solution for these

    Reply
    1. admin Post author

      Hi Akshay,\n\nThe land on which the apartment is being built is A-khata and hence building approvals would have been obtained on that basis. But getting approval for building stilt plus 2 floors and building a third floor without approval is illegal. You will certainly be taking a risk and the flats will not certainly be eligible for the A-khata. Bank funding may also not be possible and if the third floor along with the setback violations if any constitutes a deviation more than 50%, then you will not be eligible for Akrama – Sakrama also. At the very least, you may end up paying a huge penalty for the violation which cannot be quantified right now.\n\nPlease don?t opt for such a property. It is best to buy a property that has not violated approvals even if it costs 5% more, because you do not know how much of penalty you will end up shelling finally or worse still have the floor demolished.\n\nIf you need legal assistance from HomeShikari to decide, please mail us at services@homeshikari.com or call us at 080-67684444. We have some of the best legal experts helping us out.

      Reply
    2. Girish P

      Planning to buy flat in mahalakshmipuram \r\nIt’s A-khatha. Land is around 3600sq f.t.\r\nHe Constructed B+G+4 but BBMP approved only G+2. Above 2 floors 6 flats are illegal. \r\nIf I purchase flat on 3rd floor wt are the problems will going to face?

      Reply
      1. admin Post author

        Hi Girish,\n\nEven though the land may be A-Khata, a building that violates the approval plan by constructing illegal flats is not eligible for the occupancy certificate or the A-Khata. Depending on setback violation plus FAR violation, the exact quantum of violation will be calculated. Again we cannot say how exactly they will calculate till a drive is conducted by the BBMP to check and regularise.\n\nEven if you are on the 3rd floor, there is a genuine risk that the top floors could come up for demolition as a worst case and a severe penalty in the best case. Until that is resolved, your risk remains and you will NOT be able to the A-khata or be eligible for a bank loan.

        Reply
  16. MUNIRAJ

    Hi sir I am planning buy a plot/ Site but this is not a converted on land b katha plot up-to-date tax paid documents also clear this is legal or illegal document

    Reply
    1. admin Post author

      If the site is not converted for appropriate land use (agricultural to residential) then you will have to get it done at your own cost later on. If the site is already coming under BBMP limits then it would be illegal to construct a residential house on a non-converted land. So understand the costs of doing it and whether you will be able to convert it later.\nHi Muniraj,\n\nAs far as it is B-khata it means that the land was coming previously under gram panchayat and is now under BBMP limits. In this case, once it is converted to residential purpose, then you will have to pay betterment charges to get it converted to A-khata provided it is eligible for such conversion.\n\nThese are things you should check now before you buy. It is advisable that you seek the legal opinion of a competent local lawyer to assess the risk. If you need legal assistance from HomeShikari, please mail us at services@homeshikari.com or call us at 080-67684444. We have some of the best legal experts helping us out.

      Reply
  17. Mona

    Hi,\r\n\r\nI have purchase flat in HSR layout. Apartment completed in march 2014. Apartment approved by BBMP G+3 floor and each floor 8 flat so total 32 flat but builder constructed extra floor with 5 penthouse. Even builder did not provide proper car parking which he promised to all 32 legal flat owner. He gave car parking to illegal flat owner so legal flat owner got small car parking where even small car also not able to fit properly.\r\n\r\nNow all legal flat owner went to consumer court regarding extra 4th floor demolish.\r\n\r\nWhat is your opinion on this?\r\n\r\nThanks\r\nMona

    Reply
    1. admin Post author

      Hi Mona,\n\nThe decision to move the consumer court is a good one and when it is jointly done by all flat owners, it makes the case more stronger. However, please do consult a lawyer with the sale deed and review the promises made by the builder. If the promises were oral and it is not reflected in the sale agreement and deed, then he may take recourse under that. It is advisable to engage a competent lawyer to handle the case on behalf of all owners though you are technically allowed to fight on your own.\n\nThere are numerous precedences where the consumer court has awarded penalties on builders. But remember that it is not going to be a quick award. Sometimes it can take up to 2 years or more due to delays from the builder side. Nevertheless, this is the right thing to do to bring the errant builder to justice.\n\nIf you need legal assistance from HomeShikari, please mail us at services@homeshikari.com or call us at 080-67684444. We have some of the best legal experts helping us out

      Reply
  18. sarah

    Hi Sir\r\nWe booked an apartment in A khata land but the buiding is B khata. Their plans shows only 2 bhk flats but there is one 3 bhk in every floor. So i am bit worried that they have only approval for 2 bhk (950 sq ft) but they have (1200 sq.ft) of 3 bhk which is not shown in the building plan. My concern is there any problem in purchasing 3 bhk in such building and will it effect getting b khata and OC and CC certificate

    Reply
    1. admin Post author

      Hi Sarah,\n\nIf the building is B-Khata then it will not eligible for A-Khata. A-Khata is a revenue record for collection of taxes from the owner of a property and is an ancillary document for verification of title ownership. While the B-khata is not actually a Khata, but a mere entry into the B-register of the muncipality to keep track of taxes you pay against a property, though the property is probably in violation or illegal.\n\nAkrama Sakrama is the only recourse for condonation of violation and the matter is still in the court. Even if the scheme is approved and comes into effect with full force, it can only collect penalties for buildings that have violations upto 50%. Again this is violation is both in terms of setback and FAR. If every floor has a 3BHK as against an approved 2BHK then it is a gross violation and we cannot ascertain the extent of violation with a licensed surveyor. With a B-Khata and no CC and no OC, the building will have issues in getting home loans and will be a difficult proposition if you want to sell it off.\n\nWe would say you are taking a big risk. Nevertheless, please take a legal opinion from a qualified lawyer after showing all the necessary documents before you proceed any further.\n\nIf you need legal assistance from HomeShikari, please mail us at services@homeshikari.com or call us at 080-67684444. We have some of the best legal experts helping us out.

      Reply
  19. Vineeth Kamath

    Hi\r\nI had a concern.I am purchasing a flat on the 4th floor of an apartment. It is under village panchayat and has e katha.My lawyer says village panchayat does not have authority to permit 4th floor although I can go ahead with the purchase since later I can pay conversion fee and get it approved.My question is how much risk I might be facing when bbmp jurisdiction is applied? Is the entire apartment under violation or is it just my flat?Also how much risk when I go for resale of the apartment?

    Reply
    1. admin Post author

      Hi Vineeth\n\nThe village panchayat has no authority to give building approvals. It most probably has to be sought from the BDA or the BMRDA depending on the locality. If a 4th floor is not permitted then it is illegal and you are taking a risk by buying an illegal flat. When it comes under BBMP jurisdiction, the first thing they will check is whether proper approvals were sought under the previous jurisdiction. Even if a scheme like Akrama Sakrama is approved by the court, it has a limited shelf life and any properties that don’t fit the regularization scheme may even come up for demolition. In all cases of violation, the violation is seen from the perspective of the entire building because the apartment was constructed as one unit and not as individual flats. If a proper approval was sought and then violated, then the extent of deviation will be studied to see if penalties will apply and to what extent. If the approval itself was from an entity that has no power of approval, then it is a 100% violation and we can’t predict the fate of such a building at this juncture. It is best to check with a good lawyer after verifying all the documents before making this buy.

      Reply
  20. Gangadhar

    Sir,\r\nI am planning to buy a residential site on Hennur Bagalur Road under Marenahally Panchayat. Th layout is not DC converted and comes under BBMP limit now. \r\nBy paying betterment charges and NOT converted with DC is the layout is illegal? What is the process to get DC converted, by individual site owner or layout owner and what are charges for that? Is any harm if it not get converted. I am a first time buyer, pls kindly advice me.\r\n\r\nRegards

    Reply
    1. admin Post author

      Hi Gangadhar\n\nDC conversion is the first step to converting land meant for agricultural use to other purposes like residential, commercial, industrial etc. The approval is sought from the Deputy Commissioner’s office and hence the name DC conversion. While the land may now come under the jurisdiction of the BBMP, you cannot construct anything (residential / commercial) unless the conversion is done. If you are first time buyer, do not buy non-DC converted plots. The process of DC conversion is done through this process, http://dk.nic.in/lcfaq.htm. It is tedious and it is usually done for the entire layout, not individual sites. If you construct a residential house on revenue land (non DC-converted), then it is illegal.

      Reply
  21. Pradeep

    Hi Team, \r\nI am planning to buy a flat in a G+4 apartment which is located behind garden city College KR Puram, but it is not under BBMP and has the approval from gram panchayat. My flat is in 3rd floor. I have already paid 20% of the amount and signed sale agreement. \r\nHow safe is it to buy apartment with gram panchayat approval? \r\nBuilder told there will be no OC for projects under panchayat limits.\r\nNo major bank is providing home loan since this is in panchayat limits. \r\nShould I back out from the purchase?

    Reply
    1. admin Post author

      Hi Pradeep\n\nWe would certainly advise you from backing out of this project because the gram panchayat is not the approval authority for building sanction even within the territory that falls under their jurisdiction. They have a hand in land approvals, not on building approvals. If no sanction was sought from BDA or BMRDA (depending on which jurisdiction it comes under), then the construction is illegal. Of the same obvious reasons, no bank will be willing to fund a home loan with this project. Consult a lawyer with the copies of documents you received from the builder and take a final call after review. If you need legal assistance from HomeShikari, please mail us at services@homeshikari.com or call us at 080-67684444. We have some of the best legal experts helping us out.

      Reply
  22. Siva Chandra

    Hi Sir,\r\n\r\nI am planning to buy a flat in an apartment which falls under panchayat approval, its a G+4 with 100 units (20 in each floor). The builder says he has all the documents right as per the panchayat approval and has an ekhatha with taxes paid on time. what are the implications if it falls under BBMP in future and I don’t see much of deviations either (<50%). Please advise on this?\r\n\r\nWhat could be the possible charges when converted to BBMP and any other implications of purchasing this flat in near future. Thanks a lot.

    Reply
    1. admin Post author

      Hi Siva,\nWhile the area may fall under panchayat, the building approvals are always given by the local muncipal authority of the district / town and not the panchayat itself. So first check the documentary approvals and whether the project has obtained an occupancy certificate from the authority that sanctioned the building plan. It is impossible to calculate deviation merely by visual inspection of your own flat. Only a certified engineer will be able to evaluate the deviation against the approved plan for the entire building. So the best protection is to insist on an occupancy certificate (if building is complete) or get an assurance of the same in the sale agreement (if the project is not yet complete). If it is there in the sale agreement and the builder violates the plan, then you will at least have redressal through a consumer court.\n\nFor most properties coming under Panchayat, the BBMP will mandatorily insist on the plan sanctions as well as the occupancy certificate when there is a change in jurisdiction or when your locality is subsumed under the BBMP. When that happens, if all the documents are perfect then the BBMP will ask you to pay betterment charges (as may be applicable) and then give you the A-khata.\n\nIf not, the property will remain as one with deviation / violation and can be condoned only through a Akrama Sakrama scheme when it comes into effect after payment of the requisite penalties (if eligible for the scheme). Right now the scheme is still in the courts.\n\nWe would say it is a risk you would carry which is uncertain. So insist on the documents. Please take an independent legal opinion on the project with a qualified lawyer, before you proceed. If you need our legal assistance, you can drop a mail to us at services@homeshikari.com or call us at 080-67684444. We have some of the best legal experts helping us out.

      Reply
  23. praveen

    Hello Sir,\r\n\r\nI have few queries about flats..\r\nLand is A khata but because of deviation all flats will get B khata..he is not giving OC and CC.\r\ni am planning to buy a flat in an apartment when i see BBMP approved plan copy it shows :Basement+G+3\r\nbasement+parking\r\nground floor=1unit 2bhk house+1unit 1 bhk house\r\nFirst floor=1unit 2bhk house+2units 1 bhk house\r\nsecond floor=1unit 2bhk house+2units 1 bhk house\r\nthird floor=1unit 2bhk house+2units 1 bhk house\r\ntotal no of approved units=11(7unit 2 bhk+4unit 1 bhk)\r\n\r\nbut builder has done deviation on all floors all 1bhk houses have been converted to 2 bhk house and he has constructed 1 additional floor with 2 units 2 bhk houses.\r\ntotal no of floors in the actual plan(flat is ready to occupy)=G+3 includes toal 12 no of 2 bhk flat+ fourth floor has got 2units of 2 bhk houses\r\ntotal=14units of flat\r\n\r\nBBMP approved the plan on 21-9-2012 upto 20-09-2014\r\n\r\ni am planning to buy a flat which is on first floor(1 bhk has been deviated and made as 2 bhk house)\r\nnow builder openly saying he has done deviation and also they have done some setting with the SBI bank evaluator in one specific branch where loans are getting sanctioned.now he is not allowing me approach any other SBI branches for loan purpose.\r\nnow BBMP says the flat which got approved before 19-01-2013 are eligible for akram sakram.\r\n\r\nNow i have so many doubts whether to go with such property or not?recently i have read some article flat which don’t have OC or CC BWssb and Bescom will not provide the ammeinites..is it true?what are the known risks if i go with this property?\r\n\r\nPlease provide your valuable suggestions.\r\n\r\nTHanks,\r\nChetan

    Reply
    1. admin Post author

      Hi Chetan\n\nYes, there are definite risks here. The plan approval date is not material. The development should have been completed on or before 19th Oct, 2013. If it later than that, then the property will not qualify for the scheme. Further, this a clear case of extensive deviation and you cannot predict the outcome from the Akrama Sakrama scheme. The scheme itself is still pending before the court and while applications are accepted, it is not clear how it will be implemented pending the court order.\n\nYes, there is a clause is the KTCP Act, 1961 which provides for disconnection of electricity and water to buildings that are not regularized within the time period or rejected from the process of regularization.\n”In case of owner of the building who has made unauthorized construction in violation of norms or zonal regulation and do not apply for regularization within the prescribed time, the supply of water and electricity to the building shall be liable to be disconnected with prior notice.\n\nIn our opinion, if you had purchased such a property long back then it is a risk you definitely couldn’t have avoided. However, in this situation you are taking a definitive risk which is certainly avoidable. Buy a property that fulfills the norms even if it is priced more. If your budget does not fit, then settle for a smaller one that fulfills the norms. The cost of regularization if possible is going to be atleast 8% of the guideline value as on Oct.2013. But if it cannot be regularized, then you would left with a huge burden.

      Reply
  24. Rebbin

    Dear Sir,\r\nI recently decided to buy a 3 bhk apartment resale in electronic city phase-2. Sale deed signed by 2..5 lakhs as advance cheque. Now when I collect the documents from home owner (landloard) as part of loan formalities I found two things.\r\n1) No occupation certificate is available.\r\n2) Blueprint in plan layout shows the apartment is 2 bhk but constructed is 3 bhk\r\n\r\nBut bank officials say there is no deviation in overall construction and no deviation in floors, or height or width. Its a eKatha property. Please advise due to the above issues should I proceed with purchase or not.\r\n\r\nThanks much,\r\nRebbin

    Reply
    1. admin Post author

      Hi Rebbin\n\n1) No occupancy certificate means that there is possibly a deviation in the overall plan of the apartment from the approved plan and hence the OC cannot be obtained.\n2) Quite possibly the owner has converted the 2 BHK into a 3 BHK with only internal alterations.\n\nBank officials will only look at overall plan and your ability to pay back the loan. Of course, all PSU banks and private banks don’t fund B-khata properties under the BBMP jurisdiction. This comes outside the BBMP jurisdiction. It is best that you show the papers to a good lawyer and get it checked before proceeding on the matter. If you need legal help from HomeShikari you can mail us at services@homeshikari.com.

      Reply
  25. Lakshmi

    Hello Sir,\r\nI have shortlisted an apartment in Ananthanagar, Electronic City, Bangalore. It is a penthouse (under- Construction – 90% Done, only interior fitting and windows fittings are left out. Possession is promised by Mar’15 end). As per the owner, the building is DC converted and has panchayat approval. Approved plan is only for G+3 floors. Heard from the concerned auth’s that the area may get converted to BBMP limits during April 2016. If so, during conversion process, is there a chance of converting this penthouse to regular one the khatha and the other documents. As the building plan, its 16 legal is approved and construction is 4 extra out of which 2 houses are duplex. After going through all the comments above, I am bit worried that should I go for this flat after taking so much of risk. Kindly advice

    Reply
    1. admin Post author

      Hi Lakshmi, \n\nWe would straight away not recommend it because it deviates from the approved plan and is probably more than 30% deviation. If and when a Akrama Sakrama comes into effect, the regularization will happen with payment of betterment and penalty charges to BBMP, only if the deviation is within acceptable limits. And such deviation may also be condoned only for projects that are old and not the new ones. Why take the risk when you don’t know what the final outcome will be? Especially real estate investments are long term and one needs to think through the pros and cons before embarking on it. If you are lucky, you may get away with a penalty, what if you are not?

      Reply
  26. kruthi

    I planned to purchase a property. It’s A khata property.. When I went for bank loan I came to know that there is a divination in bbmp place. Actually they got plan for four floor with four kitchen. First and second floor each one kitchen and third floor two. The problem is they build each two flats in first and second floor. The flat I’m planned purchase is does not have approves kitchen instead on study room they constructed kitchen. Katha is there for individual flat. All the taxes are uptodate. Kindly tell there is any problem if I purchase this flat.

    Reply
    1. admin Post author

      Hi Kruthi: \nWhen there is a deviation and not approved by BBMP, there can always be a chance of having an issue at a later date. Check if the required penalty is filed on this and Occupancy certificate is obtained for the property. Occupancy certificate can be obtained only if the property has a A-Khata, so please check if the khata for every individual flat is a A-Khata . Suggest to check with any good lawyer with the documents, who can give better clarity. If you need assistance on this, you can email us at services@homeshikari.com. Some of the best legal minds work along with us.

      Reply
  27. Praful

    Hello sir, \r\nI’ve booked a flat in an apartment in Bangalore which is in gram panchayat limits. Is it fine to continue with the purchase? It’s an G+4 building (30 units), my flat is in 4th floor. \r\n\r\nWill I be able to get A khata by paying betterment charges when BBMP takes over the panchayat limits? \r\n\r\nBuilder says there will be no OC for panchayat approved plans. Is it so? \r\n\r\nPlease provide your valuable inputs.

    Reply
    1. admin Post author

      Hi Praful,\n\nPlease check the veracity of the property title documents. To get proper documents (like Khata), Builder need to ensure that the Title documents are clear and also the construction is done as per approved plan. Ensure that you receive Occupancy certificate, issued by concerned approved agency (and not by Builder) before you take over possession of the property. OC is issued by the authority, which is giving approval for the construction. Betterment charges decision solely lies on BBMP at that phase of take over from Panchayat authorities. You can take our legal assistance in verifying the Title documents. Drop us an email at services@homeshikari.com or call us at 080-67684444

      Reply
  28. Pavan

    Hello, We brought a flat in an apartment and while hand over the buildin to Association builder provide betterment charges receipt only for open land not for entire building (constructed area) now the question is which one we have to consider constructed area or for open land?\r\n\r\nThanks,\r\n-Pavan

    Reply
    1. admin Post author

      Hi Pavan\n\nThe payment of betterment charges would apply during conversion of land use or when the property moves from a CMC limit / gram panchayat to the BBMP limits. However, the construction of building is a separate issue and if there was a deviation from the approved plan then the property will not get the occupancy certificate and an A-khata. Such deviation can be corrected only when there is a regularization scheme like the Akrama Sakrama. So please check if your property has an A-khata or is eligible to get one. If it is ineligible, then it means the builder has deviated from the approved plan. If you need help on this, you can approach HomeShikari by mailing us on services@homeshikari.com with all the details.

      Reply
  29. M Pandian

    Hello friend,\r\n\r\nI am inquiring a property which is not DC converted and is under “B” katha… Can I buy and regularize , I mean get DC conversion ( From Agri to non Agri) and “A” Katha. Actually the House in the said property has BBMP water connection and sewage connection. Owner is staying there for 17years..has paid all tax except ” Betterment ” tax. Kindly advice.

    Reply
    1. admin Post author

      Hi Pandian\n\nBuying a B-khata property is itself fraught with problems because you do not know the extent of deviation and the penalties that may be levied in future, even if Akrama Sakrama sees the light of day. But here the construction has happened on agricultural land without proper conversion. The first step in the process is to get the land regularized through DC conversion. Again there are guidelines on what can be converted and what cannot be. Only after that can you even think of the possibility of getting the A-khata after payment of betterment charges if applicable. In our mind, it is a huge risk because the costs are not determined and the time line is not also clear. Having a water connection and electricity is no guarantee that there are no legal hassles with the property. Regularization is a long process and it may even turn out that the property cannot get a A-khata for now. Which means what you are paying for now is not the real cost of the property and the risks are huge to contend with. No bank loans will be possible, so you should undertake it only if you fully comprehend the risks and still think it is a good buy.

      Reply
  30. Jagadsih

    Hi,\r\n\r\nMy question is similar to all the above.\r\n\r\nWanted to know any updates are been released relating to Akrama sakrama ?

    Reply
  31. Narayan Iyer

    I bought a Site in NRI Layout Phase 1 (Green Garden). The area look just like a BDA Layout and I see a lot of fancy houses around. Its only after buying the land, I realized that getting a Bank Loan is a challenge since it is ‘B’ Khata… And that most of these posh looking houses around my site were all self funded. This area is not an Agricultural Land, it is not a Green Zone, my lawyer found a survey number on an imprudent map with BBMP matching the site data, there is a Layout Approval, but only by a CMC/ Gram Panchayat. Is there a ray of hope for me to get a Bank Loan in the present condition or any is any regularization coming to this Area? Kind of getting worried…

    Reply
    1. admin Post author

      Hi Narayan\n\nAt the moment, most banks are not funding a B-Khata property. Normally the CMC / gram panchayat approvals are now invalid since it comes under the BBMP. If the site can be regularized by payment of betterment charges, then you should do it. However, you can check with some NBFC like DHFL and others if they can fund construction on a B-Khata property.\n\nIf you need help on checking if regularization can happen, please contact us with all details at services@homeshikari.com.\n\nYes, another point never buy something only based on how it merely looks. Land titles are extremely important and could mean the difference between an investment that is good versus one that goes bad.

      Reply
  32. SAK

    I own a flat on the 4th floor that has ground level parking space + 5 floors and a pent house on top. This was built in 2001 and a building plan approval gotten from the panchayat at that time. Currently this building is under BBMP and property taxes have been paid for all years. I plan to sell this flat and am hearing concerns regarding the panchayat approvals of the building. Would you be able to tell with this information to what % this building is in violation of building norms?\r\nKindly respond.\r\nThank you.

    Reply
    1. admin Post author

      Hi Sak\n\nSince the building is now under BBMP, the betterment charges ought to have been paid and the A-khata should have been obtained to keep the records straight. In order to be able to sell the property, you would require the A-khata from the BBMP. Most probably the building has violation (penthouse etc.) and hence the A-khata was kept at abeyance. And the A-khata will not be possible if there is a violation of sanction plan.\n\nWhat is the amount of violation cannot be determined without going through the building plan approval and inspecting the actual construction. And again the BBMP may interpret the violation is different ways and such things have a chance for rectification only when the Akrama Sakrama is implemented. We don’t know when it would happen. If there is a willing buyer ready to buy it with the B-khata, then you should attempt that.

      Reply
  33. Faruk

    HI ,\r\nI am staying as a tenant in first floor of G+ 4 floor in Bangalore. I am planning to buy this flat as it looks good to me. But the problem, builder has approval for G+3 flo(2010) and construction finished 2014 may.\r\nFourth floor, pent house, gym deviation from plan. First floor is B khata. Can it be rectified under Akrama- Sakram. f builder build one more extra floor, how much % deviation it will be. As per Akarma- Skarma it will cover only 50 % deviation. Can I buy this property?

    Reply
    1. admin Post author

      Hi Faruk,\n\nSanction plan was given for G+3 floors if fourth floor, pent house, gym was constructed without approval then it is clear deviation from plan, but the amount of deviation would be with BBMP. Please check with BBMP officials to know the percentage of deviation. You should go ahead with it only if you are OK with the risks and are ready to pay up a penalty when regularization happens.

      Reply
      1. Faruk

        Hi Thanks for your reply.\r\nIf the builder has not paid the deviation amount. Can individual apartment holder can convert it to A khatha once Akrma Sakrma comes by giving penalty.\r\nIt may happen only some of the apprment holder converted to A khatha and Rest are OK with B khatha.

        Reply
      2. Faruk

        Hi,\r\n I have consulted one real estate layer. He is telling that my flat is on 1 floor and is under BBMP plan, SO it will not problem for me, only problem will be for \r\n4th floor. As per as deviation, as builder made only one floor extra, so it will be 25% deviation. Land is A khatha and all documents are proper.\r\nOnly for the illegal floor, BMP is not giving A khatha , providing B khatha.

        Reply
        1. Sudheer

          HI Team,\r\nWe are also in the same situation which Faruk raised here and kindly let us know is it possible to pay betterment charges for only single flat or do we need to do it for complete apartment.\r\nFor your information, we have approval G+2 but constructed G+3, Penthouse & Gym room. Now Landowner is having 9 flats and he is ok with B-Khatha and not interested to pay betterment charges. Kindly let us your feedback.

          Reply
          1. admin Post author

            Hi Sudheer\n\nBetterment charges are levied when the property now falls under a different jurisdiction, let’s say it was earlier coming under the City Muncipal Council (CMC) limits that has now merged into the BBMP, then betterment charges will be applicable. However, this is a case of deviation and hence penalty charges will apply if and when Akrama Sakrama is rolled out and will depend on its eligibility for rectification. This flat will only get a B-khata which is a mere entry into the records for tax collection purposes and will have to wait till the scheme rolls out. And betterment or penalty charges are usually collected for an entire apartment and not just one flat. So it best to approach the authorities collectively as a unit.

            Reply
  34. Bharath Sirgur

    Hi Sir,\r\n\r\n I have recently booked a flat in Thanisandra area near Hebbal which has 100 units in the apartment. It is a G+4 apartment and consists of 2 and 3 bhk houses. The builder has given me Form B flat and says that the building is A Khata. Is this possible? Would it be possible for me to later convert it to A Khata and what are the problems I might face due to this. It is an under construction apartment and already the Kaveri water facility is given by BWSSB. Also, the builder has tie up with Bank of Allahabad and promises hassle free home loan for me since I am a salaried employee. When i asked him if I can go for SBI bank for home loan he says that there might be a lot of problems in getting a home loan from SBI and he might not be able to provide all the necessary documents they might ask for. I know that there is a lot of paper work and documentation required by SBI. Please suggest me on this. I am confused whether to go ahead with the booking or not.\r\n\r\nThanks in advance.

    Reply
    1. admin Post author

      Hi Bharath\n\nIf the land is A-Khata and if the builder has proper approvals as applicable and if the builder constructs it according to approved plan, then it is eligible for occupancy certificate after inspection (once complete). And with that you can get a A-Khata for your individual unit. If the land is A-Khata and either the builder does not get proper approvals or constructs a building that deviates from the plan, then it will not be eligible for A-khata after construction is finished. BWSSB and BESCOM have no connection to your Khata type and plan deviations. Bank of Allahabad is funding your loan based on your individual repayment capacity and on the fact that the land may be A-Khata. It doesn’t mean the flat will be eligible for A-Khata. Yes, SBI has stringent norms when it comes to funding loans and hence the builder is probably apprehensive that they will ask for too many documents that they can’t produce, as a result the loan may not be sanctioned. Please consult a qualified lawyer before you make the purchase. If you are OK with a B-khata property, then you are proceeding at your own risk. Even if a Akrama Sakrama comes into force regularization against payment of penalty will be applicable for old properties, not the new ones and if the extent of deviation crosses 50%, demolition is a possibility.

      Reply
  35. Vijaykumar

    Dear Sir,here in Thirupalya near E city i would like to buy a site around 1200 sqft.It was belongs to sc 20years back.Now the present owner muslim bought the same 16years back and before also muslim guy and was holding for two to three years.If you take the EC for 20 to 30 years initially it was belongs to SC.\r\nIf i buy the property from Muslim guy shoul i face any problems or is ok.tks.vijay.

    Reply
    1. admin Post author

      Hi Vijaykumar\n\nYes, there are restrictions on procuring land that belongs to SC/ST category and certain transactions could be deemed to be illegal and void under the PTCL Act (Prevention of Transfer of Certain Lands Act, 1978). One can check whether such a restriction exists on a land by checking the mother deed, title deed, encumbrance certificate, RTC, etc. Please consult a qualified lawyer or HomeShikari with all the details before you purchase such a land.

      Reply
  36. Jones

    Hi,\r\n\r\nI would like to construct a house on a site which is in Dr. Shivaram Karanth Nagar (Ministry of Communication Employees Cooperative Housing Society).\r\nThe Site is now under ‘B’ Khata. But when I went to BBMP to enquire about the betterment charges, they told that it is not yet into effect and decisions are pending. But wherever I read about it, all forums say that you can pay the betterment charges and convert to A-khata and proceed with construction process. \r\nCould you please let me know:\r\na) if the betterment charges collected is in effect or not?\r\nb) if it is applicable only to some specified areas?\r\nc) where would be the best place to get the latest information?

    Reply
    1. admin Post author

      Hi Jones,\nBBMP has issued a notification for collection of betterment charges (Jul-2014) from properties falling under its jurisdiction where land conversion has already been done for non-agricultural use. It has also instructed its offices not to collect betterment charges from properties for which land conversion is not yet done..\n\nYour property may be under such restrictions due to which they are unable to collect the betterment charges as well as issue an A-khata.\nIf you are not getting a proper response from the respective BBMP office, please file an RTI to BBMP with your specific property details and request for a precise reason why betterment charges cannot be accepted.\n\nIf you need further advice, you can approach us with copies of the documents and seek professional assistance.

      Reply
    1. admin Post author

      Hi TKM Pillai\n\nThere is a process of conversion prescribed, However, new regulations may apply as per CDP and new zoning. It is recommended that you approach us with all the details and documentation for us to advise you.

      Reply
  37. Gaurav

    HI \r\n\r\nI have a concern , If the Land is A khata and the Apartment was B Khata but the Builder has paid the Betterment charges and converted that into the A khata, but after that to get Separate individual EC he will give the EC in B Khata. Is there any issue in Buying these type of Apartment, will there be any issue in Future\r\n\r\n\r\nThanks \r\nGaurav

    Reply
    1. admin Post author

      Hi Gaurav,\n\nIf the land was A-Khata and the apartment had deviations from approved plan due to which it could not get a A-Khata, then that can be regularized only through Akrama Sakrama. Normally betterment charges are applicable when the land or land plus building moves from one jurisdiction to another, Gram Panchayat to BBMP or such. If the betterment charges have indeed been paid, then the A-Khata should be possible for the individual apartment also. Wonder why it isn’t so? There is no problem in buying a property as long as you have thoroughly vetted the legal titles with the help of a qualified lawyer and then proceed on the basis of an opinion. Most apartments in Bangalore are on B-Khata only because they all have some deviation or the other. But the extent of deviation matters, because paying a penalty later to regularize is not as bad as being asked to demolish.

      Reply
  38. Vivek

    Hi \r\n\r\nI am planing to buy a flat in a 20 units Apartment, as for builder the apartment has more than 50% deviation, as he has constructed one more floor extra.i am taking 1st floor and the extra constructed floor is the 4th floor, will there be any problem.The plan sanctioned for this project is Oct 2012.please answer few of my queries below:\r\n\r\n1) will i get A-Khata after paying fine and how much fine i need to pay if so. My apartment is 1260sqft.\r\n2) Do i face any problem in the future after paying all this.\r\n3) what are the things i should be aware of taking this kind of flat

    Reply
    1. admin Post author

      Hi,\n\nAs per the information available at the moment, even if the Akrama Sakrama scheme is rolled out by the BBMP in future, buildings having more than 50% deviation would attract demolition as against penalties. It is naive to say that if the 4th floor is under threat then nothing will happen to the 1st floor. It is part of the same structure and it could have serious repercussions.\n\n1) You won’t be able to get a A-khata for this property even though your property is on the floor that is not violating. Even where penalties are applicable after a regularization scheme is passed, it is anticipated that deviations up to 50% only will be condoned. So in our opinion, this is a risky buy though we cannot predict when the BBMP will act against such violations.\n\n2) Yes, it is possible that the building will certainly have issues with respect to violation. If you have not bought it yet, then we would certainly advise caution.\n\n3) We wouldn’t recommend buying properties that have more than 50% violation because we expect trouble even after a scheme comes into place. Anything less in terms of violation is a gamble, one can consider.

      Reply
  39. N R Sudheer

    Has the betterment charge regime implemented as announced by the BBMP Commissioner from 6th March 2014?

    Reply
  40. Abhi

    Hello,\r\n\r\nI would like to understand the betterment charges that shall be levied by the govt for Apartments that are under ‘B’ Khata. Currently am looking at buying an apartment but most of the Apartments that I see are all ‘B’ Khata & they inform saying the land is A Khata however due to the deviation in the construction they have not been given A Khata. Could you please clarify the kind of betterment charges or fines that the BBMP would put on Apartments? Are there separate slabs depending on the size of the Apartment? Please elaborate on this regard.\r\n\r\nThanks,

    Reply
    1. admin Post author

      Hi Abhishek\r\nRegularization of apartments which don’t have a A Khata, but have a B Khata due to reasons of no plan approvals, deviations from approved plan or violation of building norms (to whatever extent) will come under the Akrama-Sakrama scheme, not this betterment charges one. Though the Akrama Sakrama scheme has been approved by the CM, it is yet to be notified and opened up for public. The exact procedures are still being worked on by the government.\r\n\r\nThe particular situation you are referring to means the land use conversion may have happened properly, but the building construction has a deviation and hence the A Khata has not been issued.\r\n\r\nWho are eligible under Akrama Sakrama?\r\n\r\nUnder this scheme violations pertaining to setback, floor area ratio (FAR), non-conversion of agricultural land, and formation of unauthorised layouts and sites under urban local bodies, including the BBMP, are eligible for regularization. Regularization is possible up for up to 50 per cent violation of setback norms and permissible FAR in residential buildings and up to 25 per cent in non-residential buildings. Any violation above this would attract demolition. Also the cut off date has been revised to 19 Oct, 2013 which means properties that get completed after that and have violations may not be eligible for this scheme. We also do not know the exact period for which this scheme may be open. (will need to wait for final notification)\r\n\r\nAs per the draft rules, a penalty of 6% of guidance value is fixed for properties with up to 25% violation and 8% of guideline value for properties with violations between 25% and 50%. Since it is based on guideline values, it automatically follows that the quantum of penalty will depend on the total square footage and the guideline value applicable for the particular locality and the type of apartment.\r\n\r\nFor ex: If you have a 2000 sft apartment which has a guideline value of Rs.3000 per sft, then the penalty for up to 25% violation will be Rs.3.6 lakhs and for between 25% and 50% violation, it will be Rs.4.8 lakhs. So if the apartment is bigger or if it is in a locality that commands a higher guideline value, then your penalty will also go up accordingly.

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  41. Kranthi sagar

    Hi one of my friend has a house near Hebbal and he was a govt. employee and the land was given by corporation that time (2002). Now the property is B khatha and he would like to pay betterment fee and would like to convert into A khatha and then to sell it after that.\nWill it be possible for him.?

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    1. admin Post author

      Hi Kranthi, apologise for the delay in replying. Well there are two things your friend could do:\na. He can check with BBMP if they would accept the betterment fee and issue him a Khata Certificate (A Khata). BBMP would basically check if the land has had any issues.\nb. Alternatively, since the objective is to sell the land, there are people who are willing to buy despite knowing that it is a B Khata.

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