Several longstanding property-related issues in Chandigarh continue to remain unresolved, with the Union Territory Administration informing the Centre that most of the pending matters are either under active consideration, awaiting approval, or cannot move forward due to existing court directions.
The update was submitted to the Ministry of Home Affairs (MHA) after Chandigarh MP Manish Tewari raised concerns over the city’s unresolved property matters during Zero Hour in the Lok Sabha.
Among the major concerns is the problem related to share-wise sale of residential property. The authorities reaffirmed the fact that it is highly linked to the January 2023 Supreme Court judgment that does not allow fragmentation and conversion of residential properties into apartments in the heritage areas of Chandigarh. Following the ruling, all registration cases related to share-wise sale transactions between non-family members were halted, and approvals for building plans in jointly owned properties involving unrelated individuals were also put on hold. Officials maintained that the issue remains legally sensitive, with several connected cases still pending before the courts.
While progress has been slow on most fronts, the administration informed the Centre that a proposal to grant ownership rights to residents of rehabilitation colonies has been forwarded to the Ministry of Home Affairs for approval. If cleared, the proposal is expected to benefit nearly 48,111 dwelling units allotted since 1975 on a licence fee or rental basis, potentially providing ownership rights to around two lakh residents.
The administration also dismissed demands for extending Lal Dora limits to 22 villages, clarifying that no such proposal is currently under considerations. The issue has been repeatedly raised by village residents seeking greater flexibility for construction and property ownership, but authorities indicated that there are no immediate plans to revisit the matter.
On housing modifications, the Chandigarh Housing Board (CHB) pointed out that residents have already received partial relief through policies introduced in 2023 and 2026, allowing need-based alterations in dwelling units. However, officials ruled out any blanket regularisation of unauthorised changes, citing structural safety concerns, urban planning regulations, and Chandigarh's location in a seismic zone.
The administration also addressed issues concerning cooperative housing societies. It stated that unearned increase charges on leasehold properties continue to be levied as per existing rules, while GST on conversion charges and ground rent is applicable in line with rulings issued by the Authority for Advance Ruling (AAR). Of the 113 cooperative housing societies under the Estate Office, occupation certificates have been granted to 88, while the remaining applications are either pending due to deficiencies or have been rejected.
Reacting to the government's response, MP Manish Tewari expressed disappointment over the lack of meaningful progress. He said that despite repeatedly raising these issues across multiple forums, there has been little movement on most of the concerns affecting Chandigarh's property owners and residents. According to him, the proposal for granting ownership rights in rehabilitation colonies is the only issue that has seen any notable advancement.
These unresolved issues have caused much confusion among homeowners, investors and potential buyers about the policies. As the legal process is still ongoing and there are several proposals awaiting approvals from the Centre, it remains uncertain for the property market in Chandigarh, especially in respect to ownership rights and transfer and redevelopment policies.
