KATHMANDU, Feb 7: Land and housing developers, who are facing difficulty to legally own large stretch of land due to cap imposed on land holding, can now formally hold up to 60 ropanis (7.54 acres) of land above the legally permissible ceiling for developing organized housing and settlements in the Kathmandu Valley. The new facility came into effect this week after the government decided to recognize housing as an industry and endorsed exemption on ceiling to developers, allowing them to hold additional land above the stipulated ceiling. “The facility is not just limited to the Valley. Developers will now enjoy the facility across the country,” said Hupendra KC, under-secretary at the Ministry of Land Reforms and Management (MoLRM), adding that under the new rule, developers in hilly districts can now hold 100 ropanis (12.57 acres) above the stipulated ceiling. In Tarai too, they can now own 20 bighas (11.47 acres) in excess of ceiling, as stipulated in Land Revenue Act (LRA), for developing housing projects. MoLRM has already issued a circular to this connection to Department of Land Reforms and Management (DoLRM) and Land Revenue Offices (LROs) across the country. The Land Revenue Act allows Nepalis to own up to 25 ropanis (3.14 acres) of land in the Valley, 80 ropanis (10.05 acres) in the hills and 11 bighas (17.97 acres) in Tarai districts. Though the ceiling was not applicable for firms that have received government´s permission as per the Industrial Enterprise Act (IEA), land and housing developers were deprived of the facility. The government amended the rule mainly after a study conducted by the Department of Land Reforms and Management (DoLRM) last year traced housing companies in the Valley of owning as much as 105 ropanis (13.19 acre). Though such holding went against the law, the government on requests of Nepal Land and Housing Developers Association (NLHDA) agreed to relax the rule, instead of landing axe against companies, accepting that their nature of business required them to hold large stretch of land. “Besides, there can be no argument that housing is an important industry in itself,” said KC. The new rule has also raised exemption limit for number of other industries, including cement industry, sugar factories, agro-based industry and tourism industry, among others. It has also pledged exemption for emerging businesses as well. For instance, if a firm wishes to build a golf course and course for elephant polo, horse polo and horse riding, the government will allow it to own 100 ropanis (12.57 acres) of land above the ceiling in the Valley, 200 ropanis (over 25 acres) in hills and 25 bighas (41.84 acres) in Tarai. Likewise, the government has promised to allow firms to hold up to 500 ropanis (62.86 acres) in hills and 50 bighas (83.68 acres) in Tarai for building film city.
Source:myrepublica