Chandigarh: After years of policy disputes and repeated representations, the Chandigarh administration has finally begun resolving a cluster of long-pending issues faced by cooperative group housing societies, with the withdrawal of the 1.2 factor applied by the Chandigarh Housing Board (CHB) set to reduce leasehold-to-freehold conversion charges by nearly 30%.The administration recently cleared the matter at an internal meeting convened to address issues concerning the societies. It is also in the final stages of resolving the long-pending issue of unearned increase, while a decision on shifting the conversion process from CHB to the Estate Office is awaited.The 1.2 factor had effectively increased the land area considered for calculating conversion charges by 20%, pushing up the amount payable by flat owners. “This resulted in an artificial increase of land area by 20% and conversion charges by nearly 30%,” a UT official said.The administration has a 1996 policy governing conversion of residential properties from leasehold to freehold. However, in the case of cooperative group housing societies, CHB had been applying a different clause.With the factor set to be removed, Category A flat conversion charges are likely to fall from ₹14.96 lakh to ₹10.89 lakh, Category B from ₹8.35 lakh to ₹6.17 lakh, and Category C from ₹5.45 lakh to ₹3.75 lakh.There could be further savings if the Estate Office recommendations of June 3, 2025, are approved, including non-levy of GST. A reduction in stamp duty would provide additional relief.TOI’s Aug 10 report, “Policy gridlock: Chd’s housing societies battle costly delays”, had highlighted how cooperative house-building societies were caught in unresolved policy disputes, leaving residents paying inflated charges and, in several cases, water bills nearly four times the normal rate because completion certificates had not been issued.Allottees have also demanded that conversion be handled by the Estate Office rather than CHB, since CHB itself is a lessee. The Estate Office has recommended the change, but a final decision is awaited.R S Thapar, co-convener, Voice of Housing Societies (VOHS), welcomed the move, saying the erroneous 1.2 factor was first raised in August 2022 and had taken nearly four years and around 100 meetings to resolve.“While we celebrate this success, it is unfortunate that residents had to wait over four years to correct a clear policy violation and erroneous calculation,” he said, urging stronger accountability and regular audits to prevent similar delays and financial burdens on residents.
