- As per RERA rules, a fine of 10 percent of theproject value should be levied.
- According to the Imagine sale price, the value of theproject is Rs. 622 crore.
- A ten percent fine should be imposed on this!
Dream Valley Company, which is building Imagine Villas in the GO 111 area of Bagaram, Moinabad Mandal, has come to light. In these villas, which are being developed in two phases, 13 villas have already been sold in the first phase. Out of the 19 villas in the second phase, about 10 villas have been sold. Since Real Estate Guru first published an article on Dream Valley Imagine Villas, the TS RERA Authority has been busy gathering information about it. In this regard, TS RERA is busy issuing notices to Dream Valley. However, as usual, will TS RERA just issue a notice and not do anything? Will it levy a fine of ten percent of the project value on Dream Valley?
How much does Imagine cost?
Dream Valley is constructing each villa in Imagine Villas on 15,000 square feet. Executives of this company said that they are selling the villas for Rs. 15,000 per square foot. That is, even if 13 villas are sold at the rate of Rs. 10,000 per square foot in the first phase, the final rate will be up to Rs. 15 crore. That is, the value of the 13 villas in the first phase is about Rs. 195 crore. In the second phase, 19 villas have been put up for sale at Rs. 15,000 per square foot. This means the value of each villa is Rs. 22.5 crore, and the total value comes up to Rs. 427.50 crore. So, the value of the whole project can be said to be up to Rs. 622 crore. A ten percent penalty on this means a fine of around Rs. 62 crore is likely to be levied from Imagine Villas alone.
If the RERA collects such a huge fine from just one project, then anyone can imagine how much fine there is to be collected from all the illegal villas being constructed in the GO 111 area.
- The chairman of TS RERA, unlike the previous regime, should now act alert and crack the whip on illegal construction. It is of no use to just issue a notice to the illegal builders who do not comply with the provisions of RERA and leave, or to just collect a minimal fine. The cost of a project should be carefully calculated and fined accordingly. Imprisonment should also be enforced if necessary. Otherwise, this TS RERA will not be of any use to the people of Telangana.
