I own 2 apartments in chennai at the most important spot near tnagar. One is `3 year old, and other one is 21 year old.

Now i want to know abt my 21 year old apartment(100 flats). After may be 20 or 25 years, the lifetime of that flat may be gone...Just leave out the possiblities whether it survives for 40 or 50 years...

Tell me what will happen to the Flat owners of that apartment when its life time is over?

1. Can all the flat owners plan, and arrange money to build a new one...But that is highly impossible since we cant expect all owners to pay ransom

2. Will that land be sold to third party, and shared to all flat owners basis on square feet?. in that case...its a huge loss since all shares will be divided by 4 since we live a 3rd floor + gf basis

What are the possibilities to happen? What about renovation ?

I ask this question because if its gonna incur me losses, then i can sell it asap?
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  • Ramchi, I think you got it wrong... Land acquisition bill caters to acquisition of "Land" by the Govt. for implementing Infrastructure projects.

    The above case by Kalasivan is about redevelopment of their existing apartment by all the Owners using the support of a builder. In this case govt. is not in picture. And all owners have joined together to demolish/ remodify their old flats.
    About Economists reference to a Title, I havent read and cannot comment..
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  • That is true. Many people opt for redevelopment with the help of a builder.
    One of My friends has purchased a housing Board flat in KK Nagar just before redevelopment and the construction for the new flat is in progress. In the process he has saved a considerable amount of money compared to purchase of a new apartment in that area.
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  • Originally Posted by Ramchi
    Land acquisition bill being worked up by the government though addressing different segment (Railways, Infra and defense related ones) the bill still be applicable for RE development, if my understanding is correct. With the consent of 75%-80% of the stakeholders (owners) the project can go ahead for development or redevelopment. This is my peripheral understanding of this subject. Obviously, this requires lots of clarification, how do you calculate the % of consent for a new project vs existing ownership (in a GC, for example).


    @Ramchi,

    You have mixed the two different Bills.

    Amended LA Bill is different to RE Bill 2013.

    RE bill was originally introduced in 2013, it passed LS but stuck in RS where they amended it and now ready to be passed in RS. Once it passes RS and revives presidential assent RE bill 2013 will become an act.
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  • Rahul Gandhi reaches out to middle class, assures support against Modi government's Real Estate Bill - IBNLive

    Rahul Gandhi in full swing to put this bill in trouble, With the opposition slowly building up, it will be difficult to pass this bill in the current form...
    Let us wait and watch...
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  • For Redevelopment all the owners have to be on board, no exception. Unless a consensus is reached the UDS cannot be reconstituted and considered as a whole land extent for building approval. I have heard in some other states the owners association can take decision on behalf of the owners, not sure if thats a rule. Also in bigger complexes, even to buy/sell/rent a no objection is required from the association to prevent few owners with vested interest causing trouble.

    Regarding the opposition by RG - Raising issues to remain relevant is not new in politics. whether the bill passes or not is a number game, it doesnt matter who opposes/supports till the next election is around.
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  • Originally Posted by nabishek
    I have heard in some other states the owners association can take decision on behalf of the owners, not sure if thats a rule. Also in bigger complexes, even to buy/sell/rent a no objection is required from the association to prevent few owners with vested interest causing trouble.


    Outside of TN, in many places like Mumbai there is no concept of UDS.

    The entire building and the land is owned by Association.
    You own a share in the association and you pass it on when you sell.

    So Associations make final decisions.
    Usually they have many members, there are regulations in voting for renting/selling/redevelopment.

    Chennai did not have many high rises before so they did not focus on this.
    In 90's they passed on Association getting some powers but it is not like in Mumbai.
    UDS and ownership remained giving Individual owners a lot of ground.

    You have pluses and minuses in both systems.
    Outside of some problematic complexes like TNHB, I do not think redevelopment would be big hassle in private developments with smaller members.
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  • Originally Posted by k11

    Outside of some problematic complexes like TNHB, I do not think redevelopment would be big hassle in private developments with smaller members.


    Can you elaborate on this?

    Why would one be a problem while other is not?

    All you need is one non-cooperative or Greedy or self interest person in a complex of 4, 6, 12 or 40 etc etc.

    Why would that differ based on the complex's original builders?

    I know of three cases where a builder/developer bought 1 flat and holding the owners for ransom not allowing to redevelop via third party.

    All the three complexes are non TNHB, two of them are in T-Nagar and one in Annanagar.

    All the three are once posh flat complexes with Upper middle class people. The one in T.Nagar even had a retired Auditor General, a public sector bank MD, and one is Relative of Chettinad King MAM, they tried everything to get rid of the midsize builder (owning 1 flat). Nothing worked.

    The builder/single flat owner has been saying "it is my way or no way" for the last 5 years.
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  • Why would one be a problem while other is not?

    All you need is one non-cooperative or Greedy or self interest person in a complex of 4, 6, 12 or 40 etc etc.


    Hope.

    Hope is the common folly in many investment decisions. It hides what lies underneath as a risk.
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