Ghaziabad Development Authority Introduces Special Amenity Fee for Shops and Malls Near Metro and RRTS
The Ghaziabad Development Authority (GDA) has announced a special amenity fee for commercial and mixed-land-use properties located within 500 meters of the metro and Regional Rapid Transit System (RRTS) corridors. The new fee, which is set at 25% of the development charge, aligns with the Uttar Pradesh Urban Planning and Development (Assessment, Levy, and Collection of Special Amenity Fee) Rules, 2024.
The Uttar Pradesh government issued an official order outlining the provisions of the new amenity fee. The GDA plans to implement this charge to generate revenue and support the development of commercial and service hubs around transit corridors. The fee applies to shops, malls, and other commercial establishments within the designated 500-meter radius.
A GDA official stated that this initiative is an extension of the transit-oriented development (TOD) policy, aimed at optimizing land use near transit infrastructure. The fee will be calculated based on the standard development charge applicable to a given property.
The development authority currently levies charges under various categories, including development fees, building permit fees, and inspection fees. The new amenity fee structure is as follows:
- Land up to 1 hectare – Development fee of ₹10,000
- Land between 1 hectare and 2.5 hectares – ₹20,000
- Land between 2.5 hectares and 5 hectares – ₹30,000
- For every additional 5 hectares – An extra charge of ₹15,000
The special amenity fee will be 25% of the above development charges.
For plots exceeding 10,000 square meters, the vice chairperson of the development authority may permit payment in installments over a period of up to two years. These installments will incur a simple interest rate of 12% per annum. In case of default, a penal interest of 15% per annum, compounded annually, will be applied.
The special amenity fee is designed to support infrastructure upgrades and improve public services in areas with high commercial activity. The GDA aims to use the generated funds for better urban planning and the maintenance of transit infrastructure.
Developers and business owners will need to account for this additional cost when planning new projects. The impact of the fee on property prices and commercial leasing rates remains to be seen. However, experts suggest that the long-term benefits, such as improved connectivity and urban amenities, could outweigh the immediate financial burden.
The implementation of this fee represents a shift in how urban development authorities generate revenue. It also highlights the increasing focus on structured urban planning near key transit corridors. Authorities will monitor the impact of the new fee and may adjust policies based on feedback from stakeholders.
The GDA is expected to release further guidelines on the enforcement and collection of the special amenity fee in the coming months.
