Only 2 out of 145 properties sold; CHB auction unsuccessful
Chandigarh Housing Board held the auction of commercial properties which remained largely unsuccessful with only two properties fetching a little over the reserve prices. The CHB auction in 2009 had also met a similar fate. One of those properties was in Sector 38 (West) fetching Rs 61.13 lakh, just Rs 25,000 more than the reserve price. Another was in Manimajra fetched Rs 60.25 lakh, which was Rs 27,000 more than the reserve price.
Main reasons for the dismal performance were that traders were not keen on buying property on a leasehold basis and the service tax was to be charged this year as per directions of the Central Excise and Taxation Department.
The owner is required to pay ground rent and property tax every year and 12.5% service tax is also applicable added Kamaljit Singh Panchhi, president of the Property Federation Chandigarh. Chairman, Chandigarh Beopar, Mandal Charanjeev Singh, also expressed similar views.
