Bengaluru, the IT hub of India, is one of the most sought-after real estate destinations in the country, offering a mix of modern amenities, cultural diversity, pleasant climate and lucrative employment opportunities. Whether you are looking for a home to live in or an investment to grow your wealth, Bengaluru has something for everyone.
However, before you buy a property in Bengaluru, you need to be aware of the different authorities and khatas that govern the land use, development and taxation of properties in the city. These include:
- BDA (Bangalore Development Authority): BDA is the planning and development authority for Bengaluru city and its outskirts. It is responsible for creating layouts, approving building plans, allotting sites and providing infrastructure facilities for the planned development of the city.¹
- BMRDA (Bangalore Metropolitan Region Development Authority): BMRDA is the planning and coordination authority for the areas falling under Bangalore Metropolitan Region (BMR), which covers an area of 8,005 sq km around Bengaluru city. It is responsible for creating master plans, regulating land use, granting permissions and overseeing the development activities of various local planning authorities (LPAs) such as BIAAPA, BMICAPA etc. within BMR.²
- BBMP (Bruhat Bangalore Mahanagara Palike): BBMP is the municipal corporation for Bengaluru city and its surrounding areas. It is responsible for providing civic amenities, collecting property tax, maintaining roads, parks, lakes etc. and issuing khatas for properties within its jurisdiction.³
- Khata: Khata is an account or a record of a property in the property register maintained by BBMP. It contains the details of the property owner, location, size, usage, tax assessment etc. There are two types of khatas issued by BBMP: A khata and B khata.⁴
- A khata: A khata is a valid and legal khata issued by BBMP for properties that are in compliance with all the rules and regulations of BDA, BMRDA and BBMP. It means that the property has a sanctioned plan, has paid all the taxes and fees and has obtained all the necessary approvals and clearances from the concerned authorities.⁴
- B khata: B khata is an informal or provisional khata issued by BBMP for properties that are not in compliance with all the rules and regulations of BDA, BMRDA and BBMP. It means that the property does not have a sanctioned plan, has not paid all the taxes and fees or has not obtained all the necessary approvals and clearances from the concerned authorities.⁴
- Gramtana: Gramtana is a term used to refer to properties that are located within village limits or rural areas. These properties are governed by gram panchayats or village councils and do not come under the purview of BDA, BMRDA or BBMP. These properties have panchayat khatas or RTCs (Record of Rights, Tenancy and Crops) as their revenue records.⁵
- Revenue sites: Revenue sites are plots of land that are converted from agricultural to non-agricultural use by paying conversion fees to the revenue department. These plots are not approved by any planning authority such as BDA or BMRDA and do not have any layout plan or building plan. These plots are also known as DC converted sites or green sites.
Now that we have understood what these terms mean, let us look at some of the pros and cons of buying a property in Bengaluru under each of these authorities and khatas.
Pros and Cons of Buying a Property under BDA
Pros:
- Buying a property under BDA means that you are buying a property that is legally approved by the planning authority for Bengaluru city.
- You can get easy loans from banks and financial institutions for buying a property under BDA.
- You can get building plan approval, building license, trade license etc. from BBMP for your property under BDA.
- You can get water and electricity connections from BWSSB (Bangalore Water Supply and Sewerage Board) and BESCOM (Bangalore Electricity Supply Company) for your property under BDA.
- You can get A khata from BBMP for your property under BDA.
- You can resell your property under BDA without any hassle.
Cons:
- Buying a property under BDA can be expensive as the property rates are higher in BDA approved areas.
- You may have to pay higher property tax and maintenance charges for your property under BDA.
- You may have to face delays and corruption in getting approvals and clearances from BDA and BBMP for your property under BDA.
Pros and Cons of Buying a Property under BMRDA
Pros:
- Buying a property under BMRDA means that you are buying a property that is legally approved by the planning authority for Bangalore Metropolitan Region.
- You can get easy loans from banks and financial institutions for buying a property under BMRDA.
- You can get building plan approval, building license, trade license etc. from BBMP or the respective LPA for your property under BMRDA.
- You can get water and electricity connections from BWSSB and BESCOM or the respective LPA for your property under BMRDA.
- You can get A khata from BBMP or the respective LPA for your property under BMRDA.
- You can resell your property under BMRDA without any hassle.
Cons:
- Buying a property under BMRDA can be expensive as the property rates are higher in BMRDA approved areas.
- You may have to pay higher property tax and maintenance charges for your property under BMRDA.
Pros and Cons of Buying a Property under BBMP A khata
Pros:
- Buying a property under BBMP A khata means that you are buying a property that is legally valid and compliant with all the rules and regulations of BBMP.
- You can get easy loans from banks and financial institutions for buying a property under BBMP A khata.
- You can get building plan approval, building license, trade license etc. from BBMP for your property under BBMP A khata.
- You can get water and electricity connections from BWSSB and BESCOM for your property under BBMP A khata.
- You can resell your property under BBMP A khata without any hassle.
Cons:
- Buying a property under BBMP A khata can be expensive as the property rates are higher in BBMP A khata areas.
- You may have to pay higher property tax and maintenance charges for your property under BBMP A khata.
Pros and Cons of Buying a Property under BBMP B khata
Pros:
- Buying a property under BBMP B khata means that you are buying a property that is cheaper than the properties under BBMP A khata or BDA or BMRDA approved areas.
- You can get water and electricity connections from BWSSB and BESCOM for your property under BBMP B khata.
Cons:
- Buying a property under BBMP B khata means that you are buying a property that is illegal or semi-legal and not compliant with all the rules and regulations of BBMP.
- You cannot get loans from banks and financial institutions for buying a property under BBMP B khata.
- You cannot get building plan approval, building license, trade license etc. from BBMP for your property under BBMP B khata.
- You cannot resell your property under BBMP B khata without regularizing it with BBMP by paying penalty fees and taxes.
- You may face legal issues and disputes with regard to your property under BBMP B khata.
Pros and Cons of Buying a Property under Gramtana
Pros:
- Buying a property under Gramtana means that you are buying a property that is located in rural areas or village limits where the land prices are lower than the urban areas.
- You can get water and electricity connections from gram panchayats or village councils for your property under Gramtana.
Cons:
- Buying a property under Gramtana means that you are buying a property that is not approved by any planning authority such as BDA or BMRDA or BBMP.
- You cannot get loans from banks and financial institutions for buying a property under Gramtana.
- You cannot get building plan approval, building license, trade license etc. from any authority for your property under Gramtana.
- You cannot resell your property under Gramtana without converting it to non-agricultural use by paying conversion fees to the revenue department.
Pros and Cons of Buying a Property under Revenue Sites
Pros:
- Buying a property under Revenue Sites means that you are buying a plot of land that is converted from agricultural to non-agricultural use by paying conversion fees to the revenue department.
- You can get water and electricity connections from BWSSB and BESCOM or gram panchayats or village councils for your property under Revenue Sites.
Cons:
- Buying a property under Revenue Sites means that you are buying a plot of land that is not approved by any planning authority such as BDA or BMRDA or BBMP.
- You cannot get loans from banks and financial institutions for buying a property under Revenue Sites.
- You cannot get building plan approval, building license, trade license etc. from any authority for your property under Revenue Sites.
- You cannot resell your property under Revenue Sites without obtaining NOC (No Objection Certificate) from the revenue department and the concerned gram panchayat or village council.
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