INTEGRATED TOWNSHIP @ CHIKKAJALA IN

BANGALORE
Abstract :
The project aim is to study the Concept of Integrated Township
It is well documented and understood that India is one of the fastest
growing economies in the world along with being one of the most
populated as well. Urban population of India is likely to grow from
285.3 million in 2001 (Census 2001) to 360 million in 2010, 410 million
in 2015, 468 million in 2020 and 533 million in 2025, as per the
projections based on historical growth pattern of population (1901
2001). Furthermore, as per the 1999-2000 census the share of
agriculture in the total workforce has shown considerable decline from
60% to 57% in 1993-94. The share of primary sector is likely to decline
further to 37% in 2030. This means a large number of rural workforces
will migrate to urban areas in search of jobs in secondary and tertiary
sector. It is important for them to have access to employment, shelter
and related services failing which they will contribute to mushrooming
growth of slums and substandard habitat.
The sheer growth of the economy combined with rapid urbanization
and population explosion has created conditions which lead to collapse
of the urban infrastructure, environmental degradation and hike in
house price. Urbanization of this scale needs to be supported by
adequate infrastructural facilities. The time is right for the government
to take meaningful steps to create a policy which addresses and
channels this growth in the right direction especially in the case of
housing sector.

The search for a feasible solution for uncontrolled urban growth and
haphazard developments needs to be reoriented to the search for a
sustainable urban development which respond to a variety of existing
physical conditions of the society and its environment. This paper is an
attempt to analyze the new concept of Integrated Township as a
sustainable urban

neighborhood. The concept is

developed

by

integrating three aspect of life Live, Leisure and Work. Integrated

Township provide micro quantum of facilities of a developed city and it
avoid all sort of issues in the town for the beneficiaries

SYNOPSIS

Rapid urbanization and population growth lead to social, economical and environmental
issues and collapse of infrastructural facilities in the urban areas. To mitigate the adverse
effects of urbanization and population concentration in the urban region, scholars are
searching for a practical and a feasible solution. Growing demand of housing for urban
mass population is always an issue. Supply of infra structural facilities and service from
the part of government are always lagging due to various reasons. A new self sustainable
urban settlement with a good economic base- is the search of new urban community. New
town planning concept in urban housing very is essential.
The ongoing population explosion in India has placed great strain on the country's
environment. This rapidly growing population, along with a move toward urbanization
and industrialization, has placed significant pressure on India's infrastructure and its
natural resources. Deforestation, soil erosion, water pollution and land degradation
continue to worsen and are hindering economic development in rural India, while the
rapid industrialization and urbanization in India's booming metropolises are straining the
limits of municipal services and causing serious pollution issues.
Housing, being next only to food and clothing for the urban settlers, also holds the key to
accelerate the pace of development. Investments in housing unlike any other industry, has
a multiplier effect on income and employment. It is estimated that overall employment
generation in the economy due to additional investment in the housing/construction is
eight times the direct employment (IIM-Ahmedabad Study, 2000). The construction
sector provides employment to 16% of the work force (absolute number 146 lakh-1997).
It is growing at the rate of 7%. Out of this, the housing sector alone accounts for 85.5
lakh workers which is 55% of total construction work force.
To give the importance of the housing sector in the overall economy it is imperative that
the government seriously starts thinking about systematically leveraging the urban
growth by creating good quality affordable housing through integrated townships that
prop up the economic development.

National Urban Housing and Habitat policy section 1.12 deals with the need for New
Integrated Townships and Green-Field Developments (ref: NHHP2007). In order to
regulate and direct the developments in the housing sector with a public beneficiary
objective, it is very important to have policies and guidelines.

II

What are integrated townships?

They are clusters of housing and commercial businesses with associated infrastructure
such as roads, schools, hospitals, convenience shopping, water treatment plants, drainage
and sewage facilities.
With urban areas getting more crowded and falling increasingly short on future
development potential, integrated townships have been identified as a potential solution.
Integrated townships are rather complex with more open areas and an emphasis on
creating a sustainable living ecosystem with residential and commercial spaces supported
by an infrastructure backbone of power, roads, water, drainage and sewage - a virtual
living and breathing city.
With land being a State subject, different States have varying policies on integrated
townships. While the norm for land requirement for such projects is 100 acres, some
States such as West Bengal and Rajasthan have relaxed their minimum land requirement
criteria.

A Integrated benefits
There is a marked lack of residential density in fast-growing cities such as Gurgaon, and
State Governments are promoting integrated township projects by proposing the easing of
development norms for such projects. This has caused many developers to enter this
segment of development.
DLF, Tata, Ansal API and IREO already have integrated township projects in various
stages of development across the major Indian cities like NCR-Delhi. HIRCO is creating
similar townships in Panvel on the periphery of Mumbai, and in Chennai. Omaxe,
Parsvnath, Emaar MGF, BPTP and Kumar Builders have also announced multiple
integrated township projects.
In Noida (NCR), developers such as Logix and Jaypee Group are developing golf-centric
townships, in effect offering a value addition option to customers.

The new master plans for all major cities are looking at expanding the boundaries of their
urban sprawl. These new development precincts would benefit significantly if the
integrated township model were given high preference and incentives, since they provide
a holistic living environment and prevent mushrooming of unplanned urban villages.
Over the next two to five years, most metros and satellite cities are likely to see increased
launches of integrated township projects.
Tier-two cities and State capitals which see the population from the interiors gravitating
towards them are also likely to see such projects being launched. Though arriving at an
exact number is challenging, it seems evident that at a few hundred such projects are
likely to be in different stages of development over the next five-year period.
Private equity funds will show a marked predilection for targeting the residential portion
of such township projects. In fact, many such investments are expected over the short to
medium term.
It is significant to note that, notwithstanding the other components of integrated
townships, it is the demand for housing that will continue to be the dominant factor that
will drive the development of such projects.
Sadly, despite all the positive hype around this form of development, integrated township
projects grapple with the same problems that plague the rest of the real estate sector in
India.

B Land acquisition
The absence of proper title deeds and the opaque functioning of local revenue
departments create the first hurdle in such projects namely land acquisition. Obviously,
this is the most essential aspect and consolidating contiguous land parcels through
multiple owners, adopting the local vernacular and negotiations and paperwork are a
thoroughly exhaustive process.
Lack of proper land titles, wills, disputes and the near-impossibility of tracing ancestral
ownership contribute towards a long-drawn legal due diligence process. Absence of title
insurance also adds to the legally vexatious issue of multiple sales and forged ownership
documents.
To some extent, this problem is now being addressed by land aggregators, who help
developers save precious time in chasing individual owners. Nevertheless, the legal due
diligence is still a problem as land records are still maintained in an obsolete manner
which is, as of now, miles away from the computerised process that is the clear need of
the hour.

C Lack of infrastructure
Because of their huge mandatory land requirements, integrated townships need to be
developed outside the main urban areas of any city.
The citys peripheries are usually low on infrastructure support, and development of
integrated townships needs such support to flourish. Public infrastructure development
usually follows any regions development with a lag. This means that the infrastructure
does not keep pace with the development, and is usually planned reactively rather than
being forward looking.
Integrated townships are designed to house a large number of families as well as
commercial establishments. Infrastructure is pivotal in making such developments
inhabitable and commercially viable. Most big Indian cities are struggling with issues of
power, water and drainage, not to mention a snail-like pace of road network expansion.
In such a scenario, integrated townships are likely to struggle with lack of support
infrastructure for a while to come. Though the internal infrastructure such as roads,
drainage and water connections as well as social infrastructure has to be provided by the
developer, the external linkage to the state infrastructure backbone is imperative.

D Capital intensiveness
The huge investment needed upfront for the land acquisition phase compounded by the
mandatory long-term commitment of substantial funds towards development - has created
an entry barrier for integrated townships which only large realty groups can scale. Even
in their case, such long-term commitment of monies and the lengthy gestation period tend
to deflate the enthusiasm of most developers.
This by no means indicates that the integrated township model is inherently flawed successful examples such as Magarpatta City in Pune illustrate that it is indeed possible
to create the right framework of development to achieve optimal results.

E What the future holds

There has been demand for easing the FDI norms for integrated townships, the intention
being the prevention of speculation and attracting foreign funds to invest in the
development of long-term infrastructure.

With lock-in norms in place, the Government may look at easing the investment
parameters. Meanwhile, many State Governments are already relaxing the land
requirement norms for integrated townships.
With the focus of integrated townships towards creating affordable housing as well as
infrastructure development, the model is a prime candidate for being granted
infrastructure status. If and when this happens, it will provide access to cheaper and more
established sources of funds while also providing the kind of tax benefits to developers
that are needed to make this model of development more attractive to them.
The Central Government has already opened the doors for External Commercial
Borrowings (ECBs) in integrated township development. This provides access to cheap
sources of finance and has had a positive impact on this form of development.
Single window clearance has been a long-standing demand for the real estate sector. If
implemented, it will greatly aid larger projects such as integrated townships, as well.
Local municipal authorities lack funds to undertake an urbanisation drive of any
significant scale in the major cities. In such situations, integrated townships with a focus
on development of ancillary infrastructure are a clear solution. Hence, financial
incentives and faster clearances from State Governments are paramount requirements.
Case Studie:
Whitefield,Bangalore
Temple Green (Arun Excelllo)
Estancia,Chennai