DDA announces PPP model to take city’s real estate to next level
New Delhi: The Delhi Development Authority (DDA) has announced significant reforms aimed at revitalising the city’s real estate landscape during the recent CII Real Estate Summit. With the real estate sector facing challenges such as limited land availability and high acquisition costs, DDA Vice-Chairman Subhashish Panda revealed a strategy to foster development through a Public Private Partnership (PPP) model.
At the Summit, Panda highlighted the DDA’s commitment to transforming Delhi into a vibrant global city. “DDA is working on a plan to develop land in a Public Private Partnership with developers on an annuity model,” he stated, noting that a detailed model plan will be released soon. Additionally, he emphasised the introduction of new regulations aimed at eliminating the limited land holding rule, which has previously hindered collaborative development efforts.
Panda further invited industry stakeholders to submit proposals for the rehabilitation and redevelopment of slum areas, emphasising the potential for integrating profitable ventures with social development. He mentioned, “We are planning to come up with a proposal for redevelopment of societies based on the Mumbai model in collaboration with developers and other stakeholders,” indicating a shift towards innovative housing solutions.
The DDA’s plans also include the establishment of new industrial zones targeted at service sectors. Citing the upcoming developments in Narela, Panda remarked, “Narela is set to become a new educational and industrial hub, integrated with freight corridors and logistic parks.”
Anand Kumar, Chairman of RERA Delhi, also spoke at the summit, outlining the positive effects of the RERA Act 2016 on the real estate market. He stated, “The RERA Act has enhanced transparency and trust in the real estate sector.” Kumar pointed out that property registration is crucial for curbing illegal developments and announced upcoming regulations requiring commercial entities to seek permission from RERA for land usage. “It is unfortunate that authorities such as DMRC are using land for commercial purposes without any intimation to RERA,” he added.
Addressing the importance of sustainable infrastructure, the summit highlighted the role of Infrastructure Facility Management (IFM) services, which remain underdeveloped in India compared to global standards. CII, in partnership with CBRE, hosted an Infrastructure Management Conference to promote strategic growth in this sector. Panda stressed the urgent need for policies that encompass facility management, stating, “Developers should be entrusted with the responsibility of property management by laws with due checks to ensure holistic development and sustainable infrastructure in the country.”
CII Delhi Chairman Jaideep Ahuja underlined the evolving dynamics of the real estate sector in Delhi, stating, “Delhi’s real estate is pivotal in driving urban development and economic progress.”
Meanwhile, Harsh Vardhan Bansal, Convenor of the CII Delhi Panel on Infrastructure, Real Estate & Urban Development, raised concerns about regulatory clarity, noting, “Delhi is perhaps the only capital in the world where people come to live but work in neighbouring regions.”
The Summit concluded with a consensus on the urgent need for collaborative efforts between industry stakeholders and government bodies to navigate the complexities of Delhi’s real estate market, aiming for a more sustainable and efficient urban environment.
