RERA APPROVAL NO - TN/01/LAYOUT/0103/2019

Everything about CMDA Approval in a Nutshell

Everything about CMDA Approval in a Nutshell


 Reading Time: 5 to 7 Minutes

 Reading Outcome:After reading the article, you will be able to understand about CMDA approved plots and the consequences of buying unapproved plots.

What is CMDA?

CMDA stands for Chennai Metropolitan Development Authority. CMDA is a statutory  organization of the Tamil Nadu Government. The responsibility of CMDA is to regulate physical developments within the Chennai metropolitan area. For this purpose, CMDA has already prepared a master plan that designates the permission for the use of land in every part of the Chennai metropolitan area.

 

What are the Powers & Functions of CMDA?

CMDA has a specific set of functions & responsibilities that are listed down below.

  • First, CMDA surveys the Chennai Metropolitan area which is under its control. This is usually done by preparing a report for each area & the survey is carried out.
  • The CMDA is the sole authority that prepares maps that supports in the planning of the city.
  • The plans for development if also prepared by the CMDA that includes the master plan as well.

 

The perks that the power of CMDA enjoys being,
  1. Designating any part of the territory within its jurisdiction as a new town.
  2. The authority can also nominate any other body to carry out specific planning functions on its behalf.

 

What are the Guidelines &  Norms set by CMDA for execution of Planning Permission?

The new streamlined procedure ensures you get the planning permission extremely easy & early.

 

What is a Planning Permission?

It is an obligation for any developer/real estate builder to obtain permission for further development on the site/plot. Before undertaking any development on the plot, you have to obtain Planning Permission (PP) from the CMDA. This is a must under the Town and Country Planning Act. This permission is valid for 3 years from the date of issue. In case of buying CMDA approved plots in Chennai from builders/real estate developers in Chennai, then there is no need to apply by your own as it would be done for you by the developer itself.

Why is CMDA important for plots/land?

For a proper planning/development to take place in a city, it is extremely important to constitute a competent authority by overseeing the structures & observing the guidelines. This in fact helps to form a better course of action for the future. People will vouch for a CMDA approved plot considering that it is legal. Though CMDA Approval process is a bit stringent compared to DTCP, the value of CMDA Plots seem to have a high appreciation in the future as it comes under the city limits. Likewise, Eternity villa plots is located in Thirumazhisai is CMDA approved, which means you are buying a plot within Chennai city limits that yields high value in the future.

What is the power of a CMDA approved plot?

An approved plot is one that is verified by the CMDA. Basically, it means that the plot can be used for further real estate transactions and the owner can modify/make changes to the plot according to his/her wishes.

 

Benefits of CMDA Approved Plots

  • The DTCP & CMDA Approval carry the advantage of owning a plot/land that can be used for a specific purpose which is designated by the planning authority.
  • The major benefit of DTCP or CMDA approval is the entitlement for getting building approval. This can also be an assurance that the building cannot be demolished without any proper procedure laid out for the approved layouts.
  • The demolition of buildings developed on CMDA approved plots/land is quite uncommon as it is not encouraged without any strong legal justification. This benefit is not available in the unapproved plots/layouts.
  • The value of property will substantially increase if the approval is sought and this will in fact increase the resale value.
  • Investors can buy DTCP approved plots in the developing areas, which is devoid of proper infrastructural development. Whereas, CMDA plots comes under the city limits, you are buying an asset in a sound infrastructure with schools, global companies, metro & flyovers around the location.
  • The scope of transparency in land/plots transaction is increased and resale is also made easier.
  • The Banks also will approve loans or fund building construction or renovation only when the land is approved.

 

What is the state of unapproved plots?

  • Generally, unapproved plots are seized by the CMDA & sold off in auctions later. This means, if you plan to buy plots in Chennai, ensure it is CMDA approved for further development.
  • There has been a sudden increase in the unapproved plots, especially after the conversion of agricultural land into residential land was banned by the Government of Tamil Nadu.
  • The penalty levied increases with the length of the period for which the unapproved plots are owned. This also includes the period prior to the sale deed execution.
  • It is considered illegal to provide water & sewage connections to buildings that are constructed/developed on unapproved plots/land.
  • Since building plan approval will not be provided for unapproved plots, there are possibilities of demolition of such buildings. In fact, this can be discounted as well.

 

Investing in plots is the best among other real investment options. Best investment comes with calculated decision making. Buying a CMDA approved plots is one such wise decision for a seemless buying process and to avoid the future hassles.

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