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Hindustan Times
13-08-2025
- Business
- Hindustan Times
India's Tier 2 & 3 cities: Next real estate growth frontier
India's metropolitan cities have long dominated the real estate landscape, shaping both market trends and public discourse, but the narrative is shifting towards India's Tier 2 and 3 cities. Beyond the metro cities, Tier 2 and Tier 3 cities such as Indore, Ahmedabad, Chandigarh, Jaipur, Coimbatore, Lucknow, Bhubaneswar, Kochi, Surat, Guwahati, and many others are emerging as vibrant real estate hubs. This growth is driven by impetus from rapid urbanisation, logistics corridors like the Delhi Mumbai Industrial Corridor, IT/ITeS investment zones, emergence of global capability centres, together with robust residential and commercial rental markets and the multimodal heft of the PM Gati Shakti programme, positioning these smaller urban centres as the new engines of growth. Real estate(Pexels) For developers seeking to undertake development of residential or commercial project in any of India's Tier 2 or 3 cities, securing necessary statutory approvals and permissions, including land use conversion, building plan approvals, clearances from local fire, pollution, and airport authorities, as well as registering under Real Estate (Regulation and Development) Act, 2016 (RERA), if applicable, are fundamental requirements. These approvals are critical for facilitating financing, and mitigating the risk of work stoppages, penalties, and legal complications which may arise from unauthorised development. Adherence to these legal mandates fosters trust and transparency amongst buyers and investors. To enhance statutory compliance for smaller real estate projects not covered under the RERA, local municipal bodies and development authorities can be empowered to enforce basic transparency and timely completion standards for such developments. Similarly, consumer awareness campaigns and simplified dispute resolution mechanisms can provide buyers and investors with the confidence and recourse they need, without the administrative burden of full RERA compliance. Over the past decade, the Central government in collaboration with state and local authorities has implemented a series of policy reforms and technological initiatives to stimulate growth in the real estate sector, particularly in Tier 2 and 3 cities. A key development has been the digitisation of land records under the Digital India Land Records Modernisation Programme (DILRMP). With a dedicated outlay of 875 crores over a period of five years, under the Union Budget of 2021-2022, together with technological support and administrative assistance to local governments, as per the data made available by the Department of Land Resources, DILRMP has achieved computerisation/digitisation of over 99% of land records and over 97% of cadastral maps nationwide. This significantly reduces the risk of hidden defects that could derail a project at critical stages. Another significant reform is the introduction of the Model Tenancy Act, 2021 (Model Act), which aims to formalise the rental market. While rental arrangements are typically negotiated privately by the concerned parties, however the Model Act provides much required clarity for both sides. States such as Uttar Pradesh, Andhra Pradesh, Tamil Nadu and Assam have already issued notifications for their versions, on the lines of the Model Act reflecting its growing influence. Similarly, recognizing the pivotal role that global capability centres (GCCs) can play in catalysing economic activity, several state governments have begun to adopt policy measures such as production-linked incentives, introduction of 'plug-and-play' infrastructure schemes, expedited single-window approvals, subsidised land leases from government, and enhanced floor-space indices, amongst others. Multiple states including Gujarat, Andhra Pradesh, Karnataka, and Uttar Pradesh amongst others, have enacted tailored policies offering various statutory and fiscal incentives, thereby reducing the real and perceived operational risks of setting-up GCCs outside Tier 1 geographies, and unlocking fresh demand for real estate in emerging urban centres in Tier 2 and 3 cities. In addition to the already growing real estate market for the residential and commercial segments, there is a marked surge in demand for data centres, logistics and warehousing facilities, driven by the technological advancement, expansion of e-commerce and supply chain networks. The growth of these sectors in Tier 2 and tier 3 cities creates employment opportunities locally and also reduces migration to larger cities. This, in turn, supports the growth and development of Tier 2 and Tier 3 cities while simultaneously decreasing the pressure on the infrastructure of Tier 1 cities. Despite advancements, several challenges persist. Zoning norms and municipal by-laws, remain highly fragmented, with variations in floor area ratio limits, parking requirements, and permissible land-use restrictions, which vary not only between states but between adjacent regions, leading to ambiguity and complications in implementation of the projects. Developers often face the onerous task of securing multiple approvals, each of which is issued by different authorities with different timelines. This impacts project implementation timelines, affecting feasibility and returns. Timely and effective redressal of complaints arising across the span of project lifecycle also remains a concern. Although the RERA Act aims to provide time-bound redressal of complaints, delays are common in jurisdictions where authorities lack dedicated administration or face frequent vacancies. While these challenges and obstacles impact the real estate sector, the macro-economic outlook for Tier 2 and 3 cities remains highly positive. Policy makers, for their part, bear the responsibility of harmonising local development regulations and infrastructure in Tier 2 and 3 cities with long-term growth objectives. Streamlining approvals through digital platforms, ensuring efficient compliance procedures, and rationalising stamp duties can create a virtuous cycle: improved compliance reduces risk, which in turn fuels growth of larger, better-financed projects, generating higher revenues and employment. The experience of states like Gujarat, where the GARVI portal integrates land records, property tax data, and other property related information and systems into a single interface, serves as a model for others to follow. Ultimately the success of India's Tier 2 and tier 3 hinges on efficient statutory procedures and infrastructure growth. As the next avenue of growth unfolds, the cities that pair infrastructure with ease of doing business will outpace peers, and the developers who embrace this synergy will be at the forefront of the new chapter of India's real-estate sector in Tier 2 and 3 cities. This article is authored by Shurtikirti Kumar, partner Shardul Amarchand Mangaldas & Co.
News18
01-07-2025
- Politics
- News18
BJP MPs Walk Out Of Parliamentary Panel Meet, Objecting To Presence Of Medha Patkar, Prakash Raj
Last Updated: The agenda included the consideration and adoption of two draft reports on government actions by the Department of Land Resources and the Ministry of Panchayati Raj The Standing Committee on Rural Development and Panchayati Raj met in Parliament on Tuesday morning, chaired by Congress MP Saptagiri Sankar Ulaka. However, the meeting soon became contentious over the participation of controversial figures, particularly social activist Medha Patkar. The agenda included the consideration and adoption of two draft reports on government actions by the Department of Land Resources and the Ministry of Panchayati Raj. It also featured scheduled oral testimonies from representatives of various ministries, NGOs, and other stakeholders on the implementation of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. top videos View All A committee member later told CNN-News18, on condition of anonymity, 'The chairman is generally known to be fair and soft-spoken. But it appears he was under pressure from the top leadership of his party. Summoning known Gandhi family supporters like Medha Patkar sends the wrong message." The tension culminated in BJP MPs staging a walkout after the chairman insisted on proceeding with testimonies from ten NGO representatives. With their exit, the meeting was adjourned due to a lack of quorum. First Published: July 02, 2025, 03:20 IST
Hindustan Times
01-07-2025
- Politics
- Hindustan Times
NDA MPs object to Medha Patkar, Prakash Raj at parliamentary committee meeting
Members of a parliamentary committee on Tuesday opposed the presence of activist Medha Patkar and actor Prakash Raj during a meeting convened to discuss issues related to fair compensation and transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. The Parliament House in New Delhi. (ANI File Photo) The meeting was subsequently cancelled, people aware of the developments said. One of the persons cited above said representatives of the ministries of rural development (Department of Land Resources), environment, forest and climate change, and tribal affairs, non-government organisations, experts and other stakeholders were to speak before the committee on Rural Development and Panchayati Raj. 'When the proceedings were about to begin, some members objected to the presence of Patkar and Raj, pointing out that they had not been informed. Later, 11 MPs, mostly from the National Democratic Alliance, walked out and in the absence of quorum the meeting was cancelled and is likely to be held on July 14,' a person aware of the details said. The committee, headed by Congress MP Saptagiri Sankar Ulaka from Odisha's Koraput, has 29 members, including former prime minister HD Deve Gowda, who was present on Tuesday. The person cited above said some of the NDA members objected to Patkar in particular, given her role in the Narmada Bachao campaign. 'They felt she was responsible for trying to block the Narmada project which would have left one-third of Gujarat parched and drought affected…' the person said. The Land Acquisition, Rehabilitation and Resettlement Act, 2013 regulates land acquisition and lays down the procedure and rules for granting compensation, rehabilitation and resettlement to the persons affected by the acquisition. The Act has provisions to provide fair compensation to those whose land is taken away and assures rehabilitation of those affected. 'We were told the ministries (rural development, environment, forest and climate change and tribal affairs) and some NGOs will put forth their views. There was no explanation on why Patkar and Raj were invited for the meeting, which we eventually boycotted,' Bihar BJP lawmaker Sanjay Jaiswal said. Ulaka defended it and said, 'It is a standard practice to hear people from the civil society. We had invited them to share their views on how to strengthen the Act…they would have submitted their views without being privy to the submissions made by the ministry representatives.' Ulaka said the list of invitees had been shared with the Speaker's Office in advance as per the protocol. 'What were the NDA MPs scared of? We could have heard the two and the report would eventually be drafted after consensus between the committee members,' he added.
The Hindu
26-06-2025
- Business
- The Hindu
Kerala has done pioneering work in taking up digital land survey: Manoj Joshi
Kerala has done pioneering work in taking up digital survey of land and notifying the records, Manoj Joshi, Secretary, Department of Land Resources, Government of India, has said. Speaking at Bhoomi national conclave on digital land survey on Thursday, Mr. Joshi lauded integration of registration system and land records in two villages in the State on a pilot basis to avoid delays. Mr. Joshi pointed out that the Kerala model was unique because the State had completed survey in around 20% of its villages using 100% new technology such as ETS (electronic total station) and DGPS (Differential Global Positioning System) and integrated its registration system with pre-mutation sketches so that maps did not get outdated in future. Yet to begin The survey was under way in some other villages, but there were nearly 1,100 villages where it was yet to begin. Instead of taking up the survey in the remaining villages in phases, Kerala should complete it at one go to prevent political and administrative risks associated with change of government. The Union government would provide funding, Mr. Joshi said. 'We are launching a new programme of taking up 20% of the country's agricultural land for a fresh survey as done through NAKSHA for urban areas,' he said. In India, separate databases were maintained for registration, buildings by local bodies, and land records. However, instead of three systems that communicated using application programming interface, an integrated system like in some European countries was being piloted in Tamil Nadu. The Union government was in talks with Chandigarh too to pilot it in some villages, he said. Kunal Satyarthi, Joint Secretary, Department of Land Resources, Government of India, and Thomas Harring, group executive vice president, Hexagon AB, spoke.
Time of India
22-06-2025
- Business
- Time of India
Stamp pads to servers, big shift for realty
Mumbai: India's real estate sector is poised for a major overhaul with the government's proposed Registration Bill, 2025, introduced by the Department of Land Resources under the rural development ministry, which aims to digitise and streamline property registration processes across the country. The proposed changes are likely to boost transparency, reduce fraud and accelerate property transactions, transforming how buyers, sellers and investors engage with real estate, experts said. Currently governed by the Registration Act of 1908, India's property registration system is largely paper-based, time-consuming and prone to irregularities. The new bill seeks to replace this framework with a modern, fully digital registration process. The shift is expected to make property dealings more efficient and accessible, especially as urbanisation and homeownership continue to rise. "The bill has the potential to revolutionise the property sector by creating a more transparent, efficient and user-friendly property registration system. The usual long time taken for due diligence and title clearance in both outright and partnership deals can be shortened after these changes," said Chintan Sheth, chairman and managing director, Sheth Realty. Live Events He said that if implemented thoughtfully, the proposed law could accelerate growth, reduce disputes and promote greater trust in real estate transactions. One of the bill's key features is the introduction of online property registration , allowing parties to complete transactions digitally without physically visiting registration offices. This will not only help save time but also reduce the scope for human error and corruption. The mandatory registration of documents beyond sale deeds, such as agreements to sell, power of attorney and equitable mortgages, will also help clarify ownership and legal rights, thus minimising disputes. "With the e-registration, the agreements, deeds stored digitally can be accessed instantly and reliably by courts," said Vivek K Chandy, joint managing partner, JSA Advocates & Solicitors. "This will do away with many of the logistical hurdles one faces in matters before the courts. It will also consequently result in a more efficient judicial process resulting in the faster resolution of disputes where registered documents are involved." The bill proposes maintaining digital property records and issuing electronic registration certificates, making it easier for stakeholders to verify titles and transfer ownership securely. Aadhaar-based identity verification is another critical element designed to enhance security while enabling quick authentication. For the real estate sector and all the stakeholders including property buyers, sellers, mortgage firms and other financial institutions, these changes could have several positive impacts. Digital records will reduce the chances of fraudulent transactions and provide a clear ownership trail, automated processes can significantly cut down delays caused by paperwork and manual verification, and a more efficient system will attract both domestic and foreign investors.
