Property values stagnate near buffer zones

Buffer zones fixed by the National Green Tribunal around waterbodies and rajakaluves in Bengaluru have hit the real-estate harder as people are apprehensive about buying properties closer to such areas.

The NGT ordered to maintain a 75-metre buffer zone around the lakes and 50 metres around rajakaluves.

Going by the recent guidance value issued by the Department of Stamps and Registration (DSR), properties closer to the buffer zones near lakes and major rajakaluves have stagnated. Values barely jumped by 5%.

"The NGT guidelines have been included for the first time in determining the values of the properties. The values of properties (near the water sources) have not shown an increase. New properties in these areas must get their values freshly evaluated," K V Thrilok Chandra, Inspector General of Registration and Commissioner of Stamps, told DH.

He said the guidance values in the city increased between 5% and 20%, while areas falling in the buffer zones have been below 5%.

Officials in the department said the NGT ruling has also had a cascading effect on the guidance values in the green belt areas as most of them are around waterbodies. They also said people did not resist this as so far no objections have been raised.

The news comes at a time when the state government has challenged the NGT order on the buffer zone in the Supreme Court, asking to reduce the distance from 75 metres to 50 metres.

Officials said the difference is noticeable in the guidance value. For instance, the proposed guidance value at the Varthur-Gunjur main road is Rs 50,000, while the previous value was Rs 45,000. In Varthur-Whitefield, the value is proposed at Rs 69,000 against last year's value of Rs 59,200.

Guidance value is also below 5% in notified slums and Ashraya sites, while a similar trend also prevails in the outskirts of Bengaluru where development has been poor and market rate stagnant.