A two-day annual State-level convention of Confederation of Real Estate Developers Association of India (CREDAI), Karnataka, being held for the first time in Hubballi from Saturday, will deliberate on various issues concerning real estate, including the implications of the Real Estate (Regulation and Development) Act 2016.
Addressing presspersons here on Thursday, president of the Hubballi-Dharwad Chapter of CREDAI Pradeep Raikar, vice-presidents Ismail Samsi and Suresh Shejwadkar and secretary Sazid Farash said that the two-day convention, with the theme, “Innovative Business Strategies- Paving Way In Real Estate”, will provide a platform for airing grievances of real estate developers before Union and State Ministers. Around 500 delegates from across the State are expected to participate.
Mr. Raikar said that while CREDAI welcomed The Real Estate (Regulation and Development) Act 2016, as it would help in taking up real estate development in a more organised manner and also in getting foreign direct investment, it had some demands with regard to the ratio of money to be deposited in the escrow account. “It should be reduced to 50 per cent instead of the proposed 70 per cent. Otherwise, the end-users would have to pay more as the developer will have to borrow money from other sources after depositing 70 per cent in the escrow account,” he said.
Mr. Raikar said that another demand was that of having a single window system for getting clearances from various government agencies for real estate development projects. “Under the new Act, projects should be completed in a time-bound manner and the failure to adhere to a time-line may lead to the government taking over such projects. But unless we have time-bound clearances from government agencies, it will be difficult to complete projects as per schedule,” he said.
Ismail Samsi said that issues concerning the new Act would be raised before Union Urban Development Minister Venkaiah Naidu and Urban Development Minister Roshan Baig and a host of other elected representatives participating in the inaugural session of the State Convention in a bid to seek solutions.
Mr. Venkaiah Naidu will inaugurate the “StateCon” at Hotel Denissons on Gokul Road here on Saturday at 10 a.m.