Chandigarh Housing board set up help desk for property auction

Help Desks Established for Property Auction

The Chandigarh Housing Board (CHB) has taken the initiative to establish five help desks across the city. These help desks are designed to provide assistance to prospective bidders interested in participating in the e-tender process for 79 housing units located throughout Chandigarh.

E-Tender Process for Housing Units

On May 17, the Chandigarh Housing Board initiated the auction process for the sale of 79 residential properties situated across various sectors of the city. The auction is being conducted through an electronic bidding process, allowing interested bidders to submit their bids. The deadline for bid submissions is May 31. Help desks providing bidder support can be found in sectors 38 West, 49, 51, and two locations within sector 63.

Previous Auction Results and Forfeiture

During the preceding auction, the CHB successfully auctioned 36 freehold dwelling units. The highest bidders for these units were mandated to deposit 25% of their respective bid amounts within five working days. Unfortunately, six of the highest bidders failed to comply with this stipulation and deposit the required 25% within the specified timeframe. As a consequence, CHB has forfeited their earnest money deposits (EMD) of Rs 2 lakh each.

Change in Reserve Price

Yashpal Garg, CEO of the Chandigarh Housing Council, stated, "they listed the six properties at the next auction and that a total of 79 properties were up for auction. The board of directors adopted full secrecy at the last auction and that the same formula will be applied at the next auction. CHB has compiled a list of 270 properties, including 11 residential (rent), 109 residential (non-ownership), and 150 commercial (leasehold) for sale. CHB has started auctions for the sale of residentialproperties first. The rest of the properties are offered for sale at a later date."

Privacy to bidders identity

To stimulate greater interest and participation, CHB has reduced the reservation price of properties by 10%. Previously, the reserve prices for both residential and commercial properties were deemed excessively high. This had resulted in a distinct lack of bidder interest during the CHB real estate auction held in 2019. Consequently, the organization has transitioned from an e-auction process to an e-tender process. One of the primary drivers of this change is the way earnest money deposits (EMD) are handled. In a traditional e-auction, EMD payment could not be submitted online. Applicants were required to deposit the EMD into the CHB account separately, provide proof of deposit, and await CHB confirmation, all before their participation in the auction was approved and confirmed. This, unfortunately, compromised the confidentiality of applicant details, revealing both the number of applicants and their identities for each property. The e-tender process addresses these confidentiality concerns directly. It allows EMD to be paid online, eliminating the need for explicit approval, providing a measure of anonymity to the bidders, and ensuring full confidentiality regarding the number of bidders and their identifying information.