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Home Chandigarh

Chandigarh Admn Proposes Legal Ownership Rights for 35,000 Rehab Colony Residents; Draft Sent to MHA

The India Post by The India Post
June 2, 2026
in Chandigarh
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Chandigarh Admn Proposes Legal Ownership Rights for 35,000 Rehab Colony Residents; Draft Sent to MHA
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CHANDIGARH: In a major policy shift aimed at resolving decades-old property disputes, the Chandigarh Administration has formulated a draft policy to grant legal ownership rights to original occupants residing across various rehabilitation colonies in the city. The comprehensive proposal has been officially forwarded to the Ministry of Home Affairs (MHA) for final review and approval.

The dynamic move is slated to directly benefit over 35,000 dwelling units spread across multiple localities, including Dhanas, Dadumajra, Indira Colony, Manimajra, Mauli Jagran, Bapu Dham, Sector 52, and Sector 56. Historically, these properties were handed over on a 99-year lease or similar restrictive licensing terms beginning in 1979.

Phased Rollout Planned

Senior UT administration officials have indicated that given the massive scale and legal complexities of the transition, the policy will be executed in distinct phases:

  • Phase 1: The current proposal exclusively focuses on regularizing rights for the original allottees or their legal heirs.

  • Phase 2: Recognizing that nearly 80% of these properties have changed hands via General Power of Attorney (GPA) over the last 30 to 40 years, the administration plans to address GPA holders in the second phase once the primary framework receives the green light from the MHA.

Crucial Financial Framework and Costs

According to the draft policy submitted to the Centre, the cost model and repayment rules for the occupants include strict timeframes:

  • Concession Rate: Eligible occupants will have to pay a consideration amount equivalent to 5% of the current collector rate, calculated explicitly on the total size of the tenement, site, or flat.

  • Payment Timeline: This entire consideration amount must be cleared within one year from the date the individual ownership right is approved.

  • Installment Option: While payment via installments is permitted, the licensee will continue to pay standard monthly rental charges to the government until the full and final amount is settled.

  • Strict Penalty: Failure to pay the full amount within the one-year window will result in an automatic cancellation of the ownership approval without further formal notice.

Eligibility and Screening Criteria

The UT Estate Department has outlined tight parameters to prevent misuse and maintain transparency. A dedicated screening committee will be set up to evaluate applications based on the following rules:

  1. Duration of Stay: The original allottees, co-allottees, or their direct legal heirs must prove they have been actively occupying the property for their own residential use for a minimum period of seven years.

  2. Clearance of Dues: Applicants must clear all outstanding government dues, including previous license fees, before their application can be successfully processed.

  3. Building Violations: The policy strictly excludes any units facing active building violations or cases pending in court. Any construction extended beyond permissible limits must be removed by the occupant at their own cost before applying.

  4. No Public Encroachments: Any extension or encroachment made on public land must be completely vacated.

The Chandigarh Administrator holds the discretionary power to relax any provisions of this scheme if it is determined to be heavily in the public interest, opening up paths for quick grievance resolution during the public darbars.

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Tags: Bapu DhamChandigarh AdministrationChandigarh NewsDadumajraDhanasMinistry of Home AffairsOwnership RightsProperty PolicyRehabilitation ColoniesUT Estate Office

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