Hyderabad: Despite the Covid pandemic, the real estate boom continues to grow at an impressive rate in the city. In tune with the State government’s plans to ensure decentralized growth, builders and developers from the city are planning to approach the government and suggest some measures for effective implementation of decentralized growth plans
Last year, the Department of IT and EC had unveiled the Grid Policy to ensure that the exponential growth witnessed in IT and ITES sectors are sustained, besides decongestion of the West zone in the city. Towards effective implementation of the policy, builders and developers have put together some suggestions which in their opinion would facilitate decentralized growth.
A city developer who is a member of CREDAI, Telangana chapter, said the government could, to begin with, explore the possibility of cutting down the pre-requisite of providing employment to at least 500 people for a mid-size IT firm to be eligible for various incentives. “This minimum cap should be brought down to 250 to attract midsize IT companies,” he said. The annual cap fixed on power and lease rental subsidy should also be relaxed, he added .
Further, considering the fact that developers were taking up projects in a new terrain at a huge risk, the 30 per cent conversion charges are seen more as a punitive action rather than incentive, he said, adding: “The government could permit payment of conversion charges in EMIs.”
Another developer said that to trigger holistic development in a particular zone, like the East Zone, the government should extend incentives and permit non-IT companies too to set up their businesses in the first couple of years before the advent of IT companies. This is mainly because social infrastructure and quality housing would be a prerequisite for IT companies to consider relocation to new areas without facing employee attrition, he said.
Under this initiative, special concession or incentives for social infrastructure development like recreation parks, foot overbridges, malls, hospitals, multiplex, etc., should be provided, he added. “We are planning to approach the government soon and present these recommendations to spur diversified activity and ensure decentralized growth in all the zones,” the developer said.
In the post-pandemic scenario, the Grid Policy, which was designed to provide more cost-effective office space solutions to IT companies, better connectivity, and convenience to their employees, needs some realignment, many developers opined.