- Construction associations decided to act collectively
- To explain adverse impact to association members first
- To crack whip against those who ignore
- To expel those who not heed from the respective associations
King Johnson Koyyada: At last, the real estate developers associations have stepped in to end illegal sale of properties through UDS (undivided share of land) and pre launch offers. They are all set to put tabs on those who are resorting to such activities and trying to mint money at the cost of Hyderabad’s real estate sector. They have decided to give an ultimatum to those who were selling the flats by showing the vacant spaces, with promise of low pricing.
Although UDS and pre launch schemes have been flooding the realty market for the last two years, there has been no signs of stern action by the Telangana State government against them. The officials have issued a couple of circulars, just for the sake of it and dusted off their hands. But finally, all the construction associations appear to have decided to crack the whip against such fraudsters, either due to increasing pressure from genuine developers or a significant number of innocent home buyers getting duped. They have decided to completely put an end to UDS and pre launch schemes.
Builders associations such as CREDAI-Hyderabad, TREDA, TBF and TDA have joined hands to curb UDS and pre launch sales. Unless a strong action is not initiated, they have realised that it would crash down the construction sector in Telangana. Accordingly, sources said that they have already convened a couple of meetings and have decided to sensitise their members first on the increasing frauds involving UDS and pre launch sales. They will also insist that none of the members sell their properties through such schemes under any circumstances.
Sensitisation begins
The builders associations have started sensitising their members on UDS and prelaunch sales. In case any member refuses to comply, these associations are considering to expel them from their organisation which could cause severe damage to the member company’s reputation in the realty market. The developers are confident that such actions will prompt the companies to give up any plans to offer properties through UDS and pre launch schemes. However, they have expressed their helplessness with regard to the builders who are not their members. Though the officials are doubting if it would have any impact, the construction associations are made it clear that unless such tough decisions are taken in the current situation, the construction sector in Telangana will be in shackles.
Construction associations are responsible
Officials opined that construction companies should play a key role in curbing UDS and pre launch sales. This is because the construction companies are said to be aware of the details of the companies that are extorting money from the public in the name of these offers. They said that the entire construction sector was in danger of being harmed by such illegal activities by some fraudsters and hence, the respective builders associations should try to curb them.
However, the construction companies are holding the Telangana RERA authorities responsible for preventing UDS and prelaunch sales, as well as taking strict action against the respective companies. While they hold each other responsible, they agree that the construction sector will prosper and might gain its past glory only when the UDS/pre launch sales decline, with genuine sales picking up.
