Real estate stakeholders in Kolkata have welcomed the statement by BJP state president Samik Bhattacharya that the state government is considering repealing the Urban Land (Ceiling and Regulation) Act, 1976. However, they have cautioned that any rollback must be accompanied by safeguards against speculative hoarding, land monopolies, and sharp price escalation.
Expert Opinions on Safeguards
Real estate consultant Samantak Das emphasized that safeguards in a repeal legislation are critical to prevent speculative hoarding, price inflation, displacement, and land monopolies. He urged the state to prevent land hoarding without development, which artificially hikes prices.
Das also stated that any new framework should mandate a fixed percentage of large-scale land development to be reserved for Economically Weaker Section (EWS) housing and public greenspace. This would ensure that the repeal does not only benefit the luxury segment.
Environmental and Regulatory Concerns
He warned that rapid land conversion must be checked by strict adherence to the West Bengal Wetlands and Water Bodies Act. Industrial land released after repeal should not be permitted for conversion if it poses an ecological threat.
Das also called for efforts to develop transparent digital land records. Without title digitization, mutation clarity, litigation tracking, and GIS-linked ownership records, implementation hurdles would remain.
Market Rationalization and Fees
Another consultancy representative suggested that circle rates should be rationalized in line with market realities to ensure smoother transactions and sustained investor confidence. Industry representatives have also proposed imposing Development Impact Fees on large land aggregations to fund roads, sewage, and power infrastructure for high-density projects.
Lessons from Other States
Sector voices noted that states which repealed ULCRA replaced ownership ceilings with zoning regulations, development plans, floor space index controls, and land reservations for public amenities. Many also retained affordable housing obligations through mandatory affordable housing quotas, EWS/LIG reservations, inclusionary zoning, and rehabilitation obligations for slum redevelopment.
