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• Chandigarh administration has moved a proposal that may grant ownership rights to nearly 35,000 rehabilitation colony residents
• The colonies were originally allotted under lease or licence-based rehabilitation schemes for economically weaker sections
• A draft policy has been prepared and sent for approval at the central level for further clearance
• A fresh committee has been formed to review legal, financial and procedural aspects and study similar models in other cities
• The move comes after earlier committees failed to resolve long-standing ownership and title issues
The Chandigarh administration has taken forward a proposal that could provide ownership rights to around 35,000 residents living in rehabilitation colonies across the city. The move is aimed at addressing long-standing concerns related to property titles and tenure security in these settlements.
These colonies were developed under rehabilitation schemes decades ago, where houses were allotted on lease or licence basis to economically weaker sections instead of freehold ownership. Over time, this structure has led to repeated issues related to unclear ownership, restrictions on property transfer, and limited access to formal housing finance.
Officials have indicated that a draft policy on granting ownership rights has been prepared and forwarded for approval at the central government level. The proposal seeks to regularise ownership for original allottees as well as their legal heirs, which is expected to bring long-pending clarity on property status in these colonies.
At the same time, the administration has set up a new committee to examine the proposal in detail. The panel will review the existing legal framework governing rehabilitation colonies, assess financial and administrative implications, and also study approaches adopted in other cities that have dealt with similar housing regularisation challenges.
The development follows earlier efforts to resolve the issue, including a committee formed in 2023, which had concluded that granting ownership rights was not feasible under existing rules. That panel had also highlighted concerns over widespread informal transfers of properties through general power of attorney arrangements, which are not legally valid for ownership transfer. It had further suggested that instead of ownership regularisation, licence fees should be revised in line with market rates and dues should be recovered.
Earlier assessments by the administration had also shown that a significant number of properties in these colonies had changed hands multiple times without official approvals. This has created complications for residents, especially when accessing bank loans, as financial institutions typically require clear legal ownership documents.
Rehabilitation colonies such as Dhanas, Bapu Dham, Mauli Jagran, Manimajra, Indira Colony, Dadu Majra, and select sectors including 52 and 56 continue to house thousands of families under the original rehabilitation framework. Despite several representations over the years, the ownership issue has remained unresolved, making this latest proposal a key policy development for long-term housing clarity in the city.
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