In a bid to enhance housing construction, Mr. Lalit Jain, the National President of the Confederation of Real Estate Developers Association of India (CREDAI), emphasized the importance of simplifying administrative procedures, implementing land reforms, and modifying banking as well as taxation systems. During the annual governing council meeting held in Pune, he revealed that developers have decided to formally present their grievances to the Central Government regarding these administrative reforms.
The governing council of CREDAI is set to follow up on this representation and will determine its future course of action within the next 45 days, which could include the possibility of striking. According to the press release from the confederation, Mr. Jain stated that these changes are crucial to revitalizing the construction sector. Such reforms would not only boost the supply of houses but also help in reducing costs. A collaborative effort between the government and private sector is essential to tackle the persistent housing shortage.
Developers have long been vocal about the challenges they face, citing delays in obtaining project clearances, skyrocketing land costs, heavy taxation, and a lack of funding in the real estate market as significant contributors to the rising construction costs. With more than 6,000 developers from 20 states and 100 associations across major Indian cities, the real estate developers' organization has positioned itself as the primary representative for the sector.
National Chairman of CREDAI, Mr. Pradeep Jain, echoed the need for self-regulation within the industry, urging members to adhere to a uniform code of conduct. Various significant issues were raised during discussions, including the necessity of affordable housing policies, the persistent delays in approvals, price increases, and the need for standardized procedures across different states.
In an effort to enhance transparency, CREDAI is committed to revealing the precise costs associated with projects once a single-window clearance system for approvals is implemented. Developers will be mandated to provide full cost details in all sales. Additionally, agreements with buyers must include clear specifications regarding carpet areas; each city unit will also establish a consumer redressal forum aimed at resolving disputes. By promoting peer pressure and fostering a better understanding between buyers and sellers, the organization believes that issues can be resolved more efficiently, ultimately saving both time and costs while restoring goodwill.