In India, development charges are levied by municipal authorities for infrastructure improvements like roads, drainage, water supply, and public amenities. How to calculate development charges depends on:
Plot Area: Larger areas attract higher charges.
Type of Property: Residential, commercial, or industrial rates vary.
Location: Charges differ based on urban, semi-urban, or rural areas.
Authority Rates: Set by local municipal bodies.
Formula: Development Charges = Rate per sq. ft. × Total Area
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How to Calculate Plot Area of Land
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I had planned to construct a portion of my land in Mumbai. However, my brother informed me that I had to first pay the development fees. He explained that development charges are one-time fees that municipalities in lower and/or higher tiers charge home builders and land developers whenever they build on a plot of land. He also advised me on how to calculate development charges. I have shared the same for your reference below.
Get your property documents verified by NoBroker’s experts!How to calculate development charges in Mumbai?
The development fees in Mumbai are determined as a percentage of the total land cost and vary based on the site's location, plot size, and construction type.
According to the Maharashtra government, development fees for residential properties are usually Rs 350 per square meter and Rs 700 per square meter for commercial properties.
To figure out the External Development Charge (EDC), you must first determine the Floor Area Ratio (FAR) in your area. Based on the plot area, this ratio defines the maximum allowable size for building development. Divide the applicable EDC rate per acre by the total allowable area to get the development charge rate per square foot.
Moreover, if you want to get the development charges in Faridabad, click this link:
https://www.ulbharyana.gov.in/Faridabad/7408#
. Usually, it is 5% of the collector rate. I hope you get an idea of the development charge.
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How to Calculate Development Charges?
Shivani K
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1 Year
2023-06-26T10:44:48+00:00 2023-06-26T11:01:46+00:00Comment
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