Development of land into colony and construction of building

(1) Any promoter, who desires to develop a land into a colony or intends to construct a building, shall make an application in the prescribed form alongwith the prescribed information and with the prescribed fee to the Director for grant of permission for the same and separate permission shall be required for each colony or building. (2) On receipt of the application under sub-section (1), the Director, after making enquiry into the title to the land, extent and situation of the land, capacity of the promoter to develop the colony, layout of the colony, conformity of the development of the colony with the neighboring areas, plan of development works to be executed in the colony and such other matters as it may deem fit, and after affording the applicant an opportunity of being heard and also taking into consideration the opinion of the prescribed authority, shall pass an order, in writing, recording reasons either granting or refusing to grant such permission. (3) Where an order is passed granting permission under sub-section (2), the Director shall grant a licence in the prescribed form, after the promoter has deposited "development charges as may be prescribed" in the shape of bank draft and the promoter has undertaken to enter into an agreement in the prescribed form for carrying out completion of development works in accordance with the conditions of the licence so granted: Provided that the promoter shall not be entitled to any interest on the bank draft deposited under this sub-section. (4) The licence granted under sub-section (3) shall be valid for a period of "five years" and may be renewed thereafter for a period of two years at a time on payment of prescribed fee by the Director. (5) The promoter shall enter into agreement undertaking to pay development charges for development works to be carried out by the Government or a local authority. (6) The Director shall determine the development charges and the time and the manner in which such charges referred to in sub-section (5) shall be paid to the Government or the local authority, as the case may be. (7) The promoter either himself or by any other person or entity shall develop infrastructure, amenities and common facilities such as schools, hospitals, community centers and other community buildings including street lighting on the land set apart for this purpose as per approved layout plan of the colony. He shall handover such land and assets to the local authority including Panchayati Raj Institutions and Urban Local Bodies in running order on such terms and conditions as may be fixed by the Director: Provided that if having regard to the amenities which exists or are proposed to be provided in the locality, the Director is of the opinion that it is not necessary to provide one or more of such amenities, he may exempt the promoter from providing such amenities, either wholly or in part, on such terms and conditions, as he may deem fit. (8) The promoter shall reserve 10% plotted area of the project or 10% of the total apartments in Group Housing Colony, as the case may be, having above 30,000 square metres of area for Economically Weaker Sections and Low Income Groups of Society, but where the total area of the project is between 5,000 to 30,000 square metres, the promoter shall reserve either 10% plots or 10% apartments for such Economically Weaker Sections and Low Income Groups of Society or may pay such shelter fee in lieu of such plots or apartments as may be prescribed. (8-a) The promoter shall reserve 15% of the plotted area or 15% of the total apartments of the project or 15% of the Luxurious Dwelling Units, as the case may be, to the Bonafide Himachalis or may pay such shelter fee only in case of Luxurious Dwelling Units as may be prescribed. (8-b) The Director shall maintain a separate account of shelter fee which shall be utilized for the construction of houses for Economically Weaker Sections and Low Income Groups of Society. Explanation.- For the purpose of this section,- (i) “Group Housing” shall mean the Group Housing for more than eight dwelling units; (ii) “shelter fee” shall mean the fee levied and collected in lieu of the reservation of plots or apartments or Luxurious Dwelling Units, as the case may be, determined on the basis of rates specified in the rules; and (iii) “Luxurious Dwelling Units” shall mean the Duplex, Apartments or Cottages or Villas as by whatever name called; (9) The promoter shall carry out all directions issued by the Director for ensuring due compliance of the execution of the layout and the development works therein and to permit the Director or any officer authorized by him to inspect such execution: Provided that the promoter shall fully provide essential infrastructure i.e. roads, foot-paths, water supply, sewerage and street lighting in running order before handing over the colony or apartments to the local authority or allottees, as the case may be. (10) The promoter shall be responsible for the maintenance and upkeep of all roads, open spaces, public parks and public health services until the date of transfer thereof in running order, free of cost to the local authority including Panchayati Raj Institutions and Urban Local Bodies or association. Where the basic amenities have been provided by the local authorities including Panchayati Raj Institutions and Urban Local Bodies, the promoter shall pay service charges to such local authorities as may be prescribed by such authorities till transfer. (11) In the event of the promoter contravening any provisions of this Act, or rules made thereunder or any conditions of the licence granted under sub-section (3), the Director may, after giving an opportunity of being heard, cancel the licence and forfeit such security as has been furnished by the promoter under sub-section (3). (12) When a licence is cancelled under sub-section (11), the Director shall cause to be carried out the development works at the risk of the promoter and after adjusting the amount received as bank draft, recover remaining charges as the Director incurs on the said development works from the promoter and the allottees in the manner as may be prescribed as arrear of land revenue. (13) Notwithstanding anything contained in this Act, after development works have been carried out under sub-section (12), the Director may, with a view to enabling the promoter, to transfer the possession of, and the title to, the land to the allottees within a specified time, authorize the promoter by an order to receive the balance amount, if any, due from the allottees after adjustment of the amount which may have been recovered by the Director towards the cost of the development works and also transfer the possession of, and the title to, the land to the allottees within the specified time and if the promoter fails to do so, the Director shall on behalf of the promoter transfer the possession of, and the title to, the land to the allottees on receipt of the amount which was due from them. (14) The promoter may transfer the approved project to any other registered promoter with the prior approval of Director in such manner and on payment of such fee as may be prescribed. However, the registered promoter may get an approved project transferred in his name only after getting a valid licence in such manner, on payment of such fee, security and service charges as may be prescribed.