GHAZIABAD: The UP Housing Board has announced an increase in circle rates for the Vasundhara and Siddharth Vihar townships, igniting concerns over property prices and affordability for many residents.
Effective retroactively from April 1 for the 2025-26 financial year, the newly revised rates will affect both current homeowners and potential buyers, with increases ranging between Rs 7,000 to Rs 9,000 per sqm across residential and commercial sectors compared to the previous fiscal year.
In Vasundhara, which is organized into 19 sectors and has a large population, circle rates for plots in odd-numbered sectors such as 1, 3, and 5 have surged from Rs 73,000 to Rs 82,000 per sqm—a steep increase of Rs 9,000. Even-numbered sectors have also seen a rise, now priced at Rs 82,000 per sqm, up from Rs 75,000 last year.
The increases are not only applicable to plots; rates for group housing and commercial properties have also risen, now set at 1.5 times and double the plot rates, respectively. This change is anticipated to impact countless property owners and buyers, many of whom have invested their life savings in these areas.
Sidharth Vihar, spanning 635 acres and experiencing rapid development with several private projects, has also witnessed a rise in plot rates from Rs 65,000 to Rs 70,000 per sqm. The rates for group housing and commercial properties in this township have similarly increased, calculated at 1.5 times and double the plot rates.
However, the board has opted to maintain unchanged circle rates for properties and flats developed specifically for low-income groups in its Sidharth Vihar schemes. For example, Brahmaputra Enclave remains priced at Rs 55,600 per sqm, while Ganga, Yamuna, and Hindon Apartments continue at Rs 43,800 per sqm.
Experts suggest that the recent update to the UP Building Bylaws 2025 has facilitated the construction of taller buildings and a higher permissible Floor Area Ratio (FAR). Ashish Kumar, a local real estate analyst, stated, “The new bylaws will significantly boost the permissible FAR, providing a major advantage for group housing projects. The government aims to capitalize on this, which has necessitated the increase in circle rates.”
This initiative is seen as a way to align property valuations with the city’s evolving infrastructure and development potential.
Enhanced connectivity is another vital factor influencing this decision. With new projects such as the rapid rail, improved Delhi-Meerut Expressway, and the proposed Noida Electronic City to Sahibabad metro line, both Vasundhara and Siddharth Vihar are becoming increasingly appealing to buyers.
“With all the connectivity infrastructure nearby, buyers are likely to overlook the increase in property rates,” Kumar adds.
Despite this, the decision has left many property owners concerned about the rising expenses and their potential implications on future transactions.
