Until now, except for Visakhapatnam and Vijayawada, other municipalities faced restrictions in granting building and layout approvals. Applications for large projects were sent to urban development authorities, causing delays and corruption in local bodies
Published Jan 16, 2025 | 9:11 AM ⚊ Updated Jan 16, 2025 | 9:11 AM
Andhra Pradesh reforms real estate norms to boost stagnant sector (Wikimedia Commons)
To revive the real estate sector which has remained stagnant for the past five or six years, the Andhra Pradesh government has issued orders simplifying layout and construction approvals.
As per the newly issued orders, the government has decided to reduce the width of roads in layouts from 12 metres to nine.
Additionally, regulations have been amended to allow cellar construction for buildings on plots exceeding 500 sq mt.
Also, the requirement to construct a 12-metre service road for areas adjacent to state and national highways has also been removed.
The state government recently issued two separate orders amending the AP Building Rules 2017 and AP Land Development Rules 2017, and making some changes to building bylaws issued by the central government. These changes are expected to infuse a new lease of life into the real estate sector.
State government officials have studied the policies followed in Delhi, Haryana, Maharashtra, Madhya Pradesh, Gujarat, Odisha, and Karnataka concerning building construction and layout regulations.
As part of the “Ease of Doing Business” initiative, the town planning department has amended the regulations under the Andhra Pradesh Town Planning Act, 1920.
Until now, except for Visakhapatnam and Vijayawada municipal corporations, the other corporations, municipalities, and urban local bodies had certain restrictions in granting permission for building construction and layouts.
Applications for large buildings and extensive layouts were sent to urban development authorities through local municipal bodies, causing delays and issues with corruption in both the local bodies and the urban development authorities.
To simplify this process, the state government decided to streamline the approval process to reduce the burden on urban residents who had to obtain permissions from two places and incur additional expenses.
The government has also issued orders to amend the “setback” regulations for multi-storey buildings. It decided to apply group development regulations to gated communities.
Changes have been made to eliminate the need for no-objection certificates for construction near railway tracks.
Environmental decks were permitted for buildings exceeding 30 meters in height, and the rules were amended accordingly.
Buildings with up to five storeys can now be constructed without prior approval. For buildings over 10 meters in height, plans signed by the owner, architect, engineer, or surveyor can be uploaded online.
It was also decided to allow basement or cellar construction for plots larger than 500 square metres.
Real estate sector representatives believe that allowing approvals through a single-window system will save time and eliminate the need to visit multiple offices.
To facilitate this, the rules were amended to issue all approvals through a single-window system. The government also decided to simplify the regulations for roads in residential complexes with more than 100 units.
This way the government believes unauthorised layouts and constructions can be curbed.
The registration department has set a revenue target of Rs 13,450 crore for the financial year 2024-25.
However, as of December 2024, the department has achieved Rs 6,760 crore in revenue.
Officials have expressed concern about meeting the remaining Rs 6,690 crore in the next three months.
“Under the previous government obtaining layout approvals used to be cumbersome and painful. Regulations like transferring 10 percent of the land to the government for laying roads created significant challenges, disrupting this sector. Reducing layout road width from 12 metres to nine metres is a very positive step,” said Nannapaneni Murali, a real estate businessman from Thullur village in the Amaravati region, speaking to South First.
“When the YSRCP was in power in the state, the real estate sector was severely impacted. To revive it, the coalition government has come out with these reforms. Now on, the real estate sector in the state will grow,” said Minister for Municipal Administration, Narayana, speaking to South First.
(Edited by Rosamma Thomas)
