Real estate industry body urges TN to speed up work on Master Plan and single-window approvals

CREDAI president Habib noted that commercial projects are able to secure approvals and proceed with projects much faster than real estate players

The timely implementation of master plans for all 135 major cities and towns across Tamil Nadu can offer a boost to the State’s ambitions to get to a $1-trillion economy by 2030, the top official of the real estate industry body said on Wednesday.

The absence of a comprehensive master plan impacts investors’ clarity about where cities are expected to grow and thus, also slows down the pace of the capital flow and investor interest, WS Habib, President, CREDAI (Confederation of Real Estate Developers’ Associations of India) Tamil Nadu, Chairman and Managing Director of RWD CREDAI, told media persons.

A Master Plan helps in an organised growth of the State, helps unlock land value and drives planned urbanisation, thereby boosting real estate potential, he added. “We are engaging with the government in preparation of the plan, but there is a need to speed it up,” he added.

He also stressed the need to have digitised and time-bound single-window approval systems for the real estate sector and pointed out that commercial projects are able to get approvals and proceed with projects much faster. Equally, relief should be provided to residential builders, he added. Though both industries have similar challenges like delays in approvals, RERA clearance, and an increase in input costs, the intensity and degree of problems differ between residential and commercial developments, he explained.

Steep property cost
Srikumar Swaminathan, Secretary, CREDAI Tamil Nadu, emphasised that residential developers, who cater to first-time home-buyers, are under considerable pressure due to sharp increases in material costs, up to 30-40 percent. “Approximately 20 percent of the cost is also taxed to the government, and this has made home buying unaffordable for first-time buyers,” Swaminathan added.

CREDAI officials stressed the key contribution of the sector to the State’s GDP and called for more consistent industry representation and collaboration with authorities. The association said it is also pushing for Tamil Nadu’s real estate sector to become globally competitive, aligning with international standards and urban strategies, as seen in models like South Korea.

As part of extending its footprint, CREDAI Tamil Nadu is also spreading its chapter network. With 10 chapters already in place, the association wants to increase the number of chapters, including one each in Sivagangai, Vellore, Karur, Nilgiris, and Thanjavur.