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The Chandigarh Housing Board has approved an increase of up to 7 per cent in restoration charges for properties resumed due to non-payment of dues or building violations. The revised structure is expected to raise charges by approximately INR 1 lakh to INR 3 lakh, depending on property category and floor, with fees now linked to prevailing collector rates. The move affects a significant number of allottees, many of whom have already received notices for unauthorised construction or structural deviations. To regain possession, property holders will be required to clear outstanding dues separately in addition to paying the enhanced restoration charges. The administration is also pursuing a parallel proposal to regularise General Power of Attorney-based property transfers to address revenue losses and improve compliance.
The Chandigarh Housing Board (CHB) has decided to increase restoration charges for resumed residential properties by up to 7 per cent in the past week, targeting cases involving unpaid dues and building violations across Chandigarh. The revision aims to strengthen enforcement and ensure compliance, with the updated fee structure linked to prevailing collector rates used for property valuation. Advertisement
Under the revised framework, restoration charges previously ranging between INR 1.50 lakh and INR 2 lakh depending on the property category and floor will increase by an additional INR 1 lakh to INR 3 lakh in several cases. Officials indicated that aligning the charges with collector rates would make restoration costs more reflective of current market values, particularly impacting smaller and lower-category units.
The board stated that the earlier fee structure was insufficient to address persistent violations and delays in payment. The revised charges are intended to encourage timely settlement of dues while discouraging unauthorised construction and structural alterations. Authorities noted that a substantial proportion of allottees have already been served notices for violations, highlighting the scale of non-compliance across housing board properties.
As per the updated rules, allottees seeking restoration of resumed properties will be required to clear outstanding dues separately in addition to paying the increased restoration charges. The dual requirement is expected to raise the overall financial burden on defaulting property holders but is positioned as a necessary measure to reduce enforcement pressure and improve adherence to building norms.
In parallel, the Chandigarh administration has submitted a proposal to the central government seeking approval to formalise property transfers carried out through General Power of Attorney (GPA). If approved, such transactions would require payment of 5 per cent stamp duty along with an unearned increase, calculated based on the appreciation in property value during the remaining lock-in period.
Officials indicated that a large number of properties had been transferred through GPA mechanisms to bypass the mandatory 15-year lock-in period applicable to concessional allotments. This has resulted in significant revenue losses due to unpaid stamp duty. The proposed regularisation framework is expected to address these gaps by bringing such transactions within the formal registration system.
The combined measures reflect a broader effort by the administration to tighten regulatory oversight of residential properties in Chandigarh. By revising restoration charges and addressing informal property transfers, authorities are seeking to standardise compliance, strengthen revenue collection, and reduce long-standing irregularities in the housing sector.
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