For several hundreds of people who were allotted sites by the Bangalore Development Authority (BDA) at Arkavathy Layout, dreams of building a house may never come true.

Though 8,813 people were allotted sites in 2004, the BDA is yet to hand over the plots. A majority of them have now become senior citizens and are not eligible for housing loans.

A large number of allottees are now aged 60 and above. Therefore, it would be difficult for them to get loans to build  houses even if they get possession of the site immediately, said office-bearers of the Arkavathy Layout Site Allottees’ Association.

Most banks are reluctant to sanction loans to those aged above 55. R V Rangan, a former Canara Bank official, said local branches give housing loans only to people below 55. For those over 55, the loan requests are referred to head offices and getting the loan becomes difficult. 

 B Gyanchand, a 55-year-old businessman, wondered which bank would give him a home loan now. “Bank’s loan tenure period will now be five years and construction costs have tripled since 2005. There will not be any collateral, too. I do not know if I can construct a house now,” he said.

P Gopal, a retired assistant sub-inspector of police, said he took a bank loan to buy a site at Arkavathy Layout in 2004. “Now, I am 63 and cannot construct a house by myself. My son works in a private firm. I am dependent on him,” he said.

“We are doubtful whether all 8,813 allottees will get sites. After we get our sites, we will collectively think on how to get financial assistance. Selling the site is not possible because of the 10-year lock-in agreement with the BDA, under the BDA Act, 1976. Allottees do not have the absolute sale deed too,” G Shivaprakash, association president, said.

All allottees are left to their fate because the BDA says it has only 1,100 acres in its possession as against the required 1,850 acres. Most allottees belong to the middle or lower-middle income groups. Many lived in rented accommodation their entire life and now wish to at least die in their own house, he added.

When contacted, BDA Commissioner T Sham Bhat said: “Of around 8,800 sites, 6,000 will be given in the first phase in March 2014 and the rest later. We are going as per court orders.”