People move in first; roads, water follow: Credai-Pune

Following DNA's exposé on the 'water affidavits' issue in Pune, this newspaper had sought a response from the Confederation of Real Estate Developers' Associations of India (Credai), Pune Chapter on the following points:

1. What is Credai's position on builders who have not revealed "water affidavits" to their clients (as has been clearly stipulated in them and mentioned by the city engineer)?

2. Has Credai/ PBAP done anything to create awareness amongst home buyers about these affidavits? Has it instructed its members to be transparent about the affidavits?

3. Property buyers feel cheated that they have to pay taxes to the Pune Municipal Corporation (PMC) and also pay for water tankers. What does Credai have to say about this situation?

DNA also sought Credai-Pune's opinion on what kind of action should be taken by the PMC against errant builders who have neither shouldered the responsibility of water, nor given a copy of the affidavit to home buyers.

Following is the statement issued by Credai-Pune in response to this questionnaire:

Pune is not unlike any other city in a developing economy.

Funds for development are scarce and infrastructure follows population unlike developed economies where infrastructure comes first and then people follow.

This approach while ideal, costs thousands of crores — crores that developing economies do not have.

As a result, people move in first and roads, street lights, water and other civic amenities follow.

This is a pattern we have seen for many years and while this is not an ideal model, it is a model that works.

Credai-Pune and its members have come forward on many occasions to support the city in infrastructure development.

For example, developers undertake water line development works based on the size of their projects even though this is not mandated under the law.

Affidavits for the water supply were necessitated as a stopgap arrangement (till the PMC made arrangements for water connections) at a time when the Development Plan (DP) for Pune was just envisaged and funds were not available to implement the large infrastructure projects needed to cater to the increased city (on account of the newly merged villages).

Developers were expected to put in place the necessary infrastructure arrangement for the water supply in their projects.

Subsequently, given the efforts that have gone in to lay out infrastructure (including water supply networks) with funds from the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) and own budgetary provisions, the PMC has put in place substantial infrastructure that is expected to solve the problem of the city - Credai-Pune is confident that requisite infrastructure in the city will be in place shortly.

Fortunately, the risk of serious problems caused by the unprecedented situation of lack of rain has been eliminated with the substantial rainfall in the recent past.

We believe this is a time to take a pragmatic approach and focus on solutions rather than indulge in a finger pointing exercise.

While the responsibility to provide civic amenities rests with the civic authority, it is important for citizens to recognize the challenges and participate on a proactive and supportive basis so as to have a positive environment.

People move in first; roads, water follow - and your property appreciates!

Isn't it profitable for the property buyers to have no infrastructure when you book the flat? As area starts developing, your real estate investment goes on appreciating!

This is the fundamental principal of the real estate investment which all property buyers and real estate investors in Pune learn, believe and follow. Like all other secrets of real estate investment. For example, investing in the property which is close to your place of work...Wakad Pune, 5 minutes from Hinjewadi...walk to work....Blue Ridge and Megapolis!

So, be thankful to all builders in Pune for creating the profitable real estate investment opportunity by starting the projects in the areas where Pune Municipal Corporation is not able to provide water, road and drainage system for a while.

Be grateful to the builders of Pune for finding a creative solution of signing the water affidavit only to provide roof for your dear family.

Let us have a have a positive environment in Pune real estate market:

At this point of time, I am sure you will completely agree with Creadi Pune, it is important for property buyers to recognize the contribution of the builders in Pune and participate on a proactive and supportive basis so as to have a positive environment. Means, just ignore the suggestions of Col (retd) SG Dalvi and Satish Khot, President, National Society For Clean Cities:

List of real estate projects: Both the stakeholders, the PMC and Credai (Pune) should come together to make a list of societies that have made these affidavits. The list should be kept in the public domain, like on the PMC website. If this is done, people will at list know which societies come under this list.

Builders - Advertise and Show: Credai (Pune) should enforce members to give advertisements saying they have made water affidavits. It's imperative that builders show the affidavits to the buyers before selling flats to them.

Water Bill?: If PMC rules make it mandatory for the builders to provide water to residents, they should also mention who has to foot the water bills.

Water Tax?: If the society comes under the "water affidavit" list, the property buyers should not be liable to pay water tax.

Water tax should be refunded to all residents: A list should be released to the press and all members of such housing societies be invited to visit the PMC on Monday during the first weekly Right to information Day of the PMC.

If housing societies have not been receiving any or even adequate water, the water tax collected by PMC should be refunded to all residents. This amount, along with the fine, should be recovered from the builders and promoters.

Completely surrender to the builder. Don't ask questions. Don't bother about "water affidavits". Just like you don't bother whether the plans are sanctioned or not while booking your 2 bhk flat in any real estate project. Let us have a have a positive environment in Pune real estate market. Amen!

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