• Risks for purchasing a plot within a Khata land and without layout approval

Hi, I looked a residential layout formed in Kodigehalli village, Hoodi Area in East Bangalore. The layout formed in 7 Acres land which is DC Converted and formed as a Gated Community. Which Developer is telling it is "A" Khata Property and in BBMP Limits. But the layout is not approved by the local body authorities and individual sites does't have any khata. Owner and Developer are registering the property in Sale deed as "B" Khata by mentioned "A" Khata number, Site Number, Layout Name as well as Schedule. Developers are telling will get "B" Khata after 45 days of registration and will get construction approval when planning house. 

I am little confusion to move head...Could you please give clarifications

1.it is not approved layout,what issues we have to face with local authorities ( BBMP ).
2. Can we get approvals for house constructions from BBMP when we want to build houses.
3. Developer is telling BBMP is not approving layouts since 2006, only BDA and BMRDA layouts 
 only getting approvals. is It true? 
4. As per my analysis, Most of the layouts in East Bangalore and Marthahalli are not has approvals 
 and all are "B" Khata properties. Is it safe to buy "B" Khata Properties.

Requesting to provide best suggestions on this...
Asked 4 years ago in Property Law
Religion: Other

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6 Answers

1. The if layout is not approved nor it is A khata property then do not purchase this property which has been wrongly mentioned as A Khata in stead of actual B Khata.

2. It will depend on the discretion of the BBMP. In most cases the irregularity is regularized but there is no guarantee.

3. It is is partly true.

4. If it si B hata then purchase it mentioning it B Kahta only and do not mention it wrongly as A Khata.

Devajyoti Barman
Advocate, Kolkata
22515 Answers
402 Consultations

5.0 on 5.0

1) file RTI application with authorities as to why layout has not been approved

2)if layout is not approved you may face legal complications later

3) check how many plots have received approval for construction of houses

4) don’t purchase B khata property

Ajay Sethi
Advocate, Mumbai
87911 Answers
6207 Consultations

5.0 on 5.0

Dear Sir,

My answers are as follows:

1.it is not approved layout,what issues we have to face with local authorities ( BBMP ).

Ans: There are so many issues though not complicated but some years are required to solve such issues for eg., the issue of conversion from B Khatha to A Khata that is regularization.

2. Can we get approvals for house constructions from BBMP when we want to build houses.

Ans: That will take another 5-8 years or early and it is within the domain of State Governemnt.

3. Developer is telling BBMP is not approving layouts since 2006, only BDA and BMRDA layouts

only getting approvals. is It true?

Ans. Yes, it is true.

4. As per my analysis, Most of the layouts in East Bangalore and Marthahalli are not has approvals

Ans: Yes, it is true.

5. and all are "B" Khata properties. Is it safe to buy "B" Khata Properties.

Ans: Please decide yourself, it is risky but you won’t lose the site or building, the only question of penalty and time consuming and transferring.

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What is a khata?

A Khata is essentially a revenue document, detailing the assessment of a property, recording details about the property such as size, location, built up area and so on for the purpose of payment of property tax.

It is also a kind of identification of the person who is primarily liable for payment of property tax. It is one of the required documents in case you require a building licence, trade licence or loan from banks or any other financial institutions.

What is the difference between an A Khata and B Khata?

What any property buyer should know while buying property in Bangalore is that it should have A khata.

An A khata means you are buying a property that is legal, and it will allow you to construct on it and obtain a trade or building license. Here are some further details on the difference between A Khata and B Khata.

Then how did the term B Khata come into being?

Well in 2007 when BBMP came into being 2 things were apparent:

1) There were many properties that fell under its jurisdiction that were illegal constructions

2) There was a need for an uniform taxation policy

Regarding the former the BBMP found that these illegal constructions were enjoying civic amenities without paying taxes. While regarding the latter, there was a need to consolidate the tax collection process to make it simpler which was earlier collected by 3 different bodies.

Now, the newly formed BBMP had the power to levy taxes on the aforementioned illegal constructions. The taxes collected from these properties were recorded in a register known in common parlance as B register and the khata issued therein was known as a B khata.

Thus anyone having a B khatha essentially is a non BBMP approved construction. Hence it is not advisable to buy such properties.

However, it is only fair to mention that any B khata property can be converted into an A khata property.

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Kishan Dutt Kalaskar
Advocate, Bangalore
6050 Answers
381 Consultations

4.8 on 5.0

advisable to go for properties having A Khatha as in case of B Khatha you are not entailed to have building license, trade licence or loan from banks or any other financial transactions. B Khata is a temporary measure which will allow you to buy or sell a site, but you will face problems when you go for construction.

Khatha conversion

Whenever the intervening irregularity is resolved, B Khatha can be converted in to A Khatha. Here are the requirements for converting a B Khatha to an A Khatha:

(a) You should have DC converted property

(b) Property tax must be paid till date

(c) Betterment charges for the conversion of property has to be paid to BBMP

1) if layout not approved by BBMP the construction can be termed illegal there can be penalty. There can be other legal issues and regularization has to be.sought.

2) yes the permission can be sought it requires time and you have to go through all the process and charges has to be paid and finally it's discretion BBMP based on the law.

3) Yes true that.

4) it is your money see since you will.have ownership but after paying so much you have to go through legal hassels it don't seem a quit good investment instead of builder gives it in a converted state to A khata property purchase it.

All these approvals are time consuming process.So nobody will challange your ownership the only problem will come at point of construction

Also if you make a sale deed and builder has B khata correctly mention that number only donot mention it as A khata

Shubham Jhajharia
Advocate, Ahmedabad
25516 Answers
179 Consultations

5.0 on 5.0

Hi, if the local municipal authorities are not sanctioning the building approval plan , then it is advisable not to purchase the property ..

Hemant Chaudhary
Advocate, Gurgaon
4619 Answers
67 Consultations

4.9 on 5.0

1. Without approval what is the guarantee of the building constructed over the vacant land, the authorities may even demolish the unauthorised/unapproved constructions.

2. If there is no approval for layout then how can one get approval for construction without the layout being approved.

3. If that is the case, why did he not obtain approval from that authority which grants approval?, the builder is trying to some how push through the sales and escape from the scene when the actual problem arises a few years after construction.

4. You too want to do the same mistake and face problems in the later stage?

T Kalaiselvan
Advocate, Vellore
78070 Answers
1543 Consultations

5.0 on 5.0

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