Chandigarh Administration Rules Out CLU, Industrial Plot Conversion

Chandigarh, May 5: The Chandigarh administration has excluded long-pending demands for converting industrial plots to retail commercial plots and permitting change of land use in villages from its proposed reforms.
Official Statement
"A consensus has developed within the administration that change of land use and conversion in the Industrial Area are not feasible at this point. These issues are not being taken up as part of the reform agenda," a senior UT official said.
Why CLU is Difficult in Villages
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Lack of contiguous land: Chandigarh villages have small, fragmented land parcels
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High infrastructure costs: Development on small plots would sharply raise land prices
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Legal restrictions: Village areas fall under Periphery Control Act, 1952 and Master Plan-2031
The UT has about 22-23 villages including Kajheri, Palsora, and Raipur Kalan.
Why Industrial Plot Conversion is Rejected
Chandigarh Master Plan-2031 clearly states that the conversion policy will not be reintroduced. Industrial units are to be retained as industries due to problems like traffic congestion and parking shortages.
What's Being Focused Instead
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Increasing FAR for industrial plots
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Relaxing setbacks and building norms
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Permitting mixed land use in Industrial Area Phase-III
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Leasehold-to-freehold conversion possibilities