DDA opens a window to freehold for pre-2001 flats

Delhi Development Authority (DDA) flat owners, who had been allotted flats from April 1992 to September 23, 2001, will now be allowed to apply for conversion to freehold, based on un-registered General Power of Attorney (GPA) and agreement to sell, under a liberalised policy for conversion recently announced by the Ministry of Urban Development.

According to DDA, conversion to freehold for flats allotted between September 24, 2001 and October 10, 2011, will be allowed on registered GPA and agreement to sell. "According to a Supreme Court judgment dated October 11, 2011, conversion will not be allowed based on GPA," a DDA official said.

"In both such conversions, an additional charge, apart from conversion charges, will be levied. In case of flats initially allotted on higher purchase basis from April 1992, conversion to freehold will be allowed on the above terms and conditions only if the applicant clears all dues, such as instalments, interest charges, penalty, if any," DDA spokesperson Neemo Dhar said.

DDA claims it has been receiving several queries from people, regarding the liberalisation of policy for conversion on the basis of GPA and agreement to sell, announced by Ministry of Urban Development last week.

From 1992 onwards, DDA had allotted flats on freehold basis, but before execution of the conveyance deed in the name of the original allottee, many allottees had sold these flats on GPA and agreement to sell basis. "There are thousands of such cases pending with DDA as conversion for flats disposed of on freehold basis was not being allowed. All these allottees will now be able to get flats converted in the name of GPA and agreement to sell. But from 2001, GPA and agreement to sell had to be registered. This has been necessitated, as orders were issued by Delhi government," a DDA official said.

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