Punjab makes 2 Notices Mandatory before Housing Societies Can Cancel Plots

Punjab Makes 2 Notices Mandatory Before Housing Societies Can Cancel Plots

LAHORE – Punjab government approved major amendments to rules governing private housing societies, introducing stricter safeguards for plot owners, heavy daily fines for illegal development and sweeping changes to housing scheme approvals and management.

Under revised regulations, housing societies will no longer be able to cancel plots without the prescribed notification process. Allottees must be informed through the Housing Society Management System and registered mail before any cancellation action is taken.

The new rules provide additional protection to buyers facing payment issues. Societies must offer at least two opportunities to clear overdue plot installments before canceling an allotment. Similarly, plots cannot be canceled immediately over unpaid development charges, as at least two notices must be issued before cancellation proceedings can move forward.

Applications for new housing schemes and revisions to existing schemes will have to be submitted through a centralized digital system, shifting the approval process towards greater digital oversight.

The government also imposed size limit on residential plots in low-cost housing schemes, setting the maximum permissible area at five marlas.

Housing societies carrying out unauthorized development work will face daily fines ranging from Rs. 5,000 to Rs. 20,000 under the amended framework, increasing the financial consequences of violating development regulations.

The changes introduce mandatory requirement for underground installation of electricity lines, internet cables and other utility infrastructure, aiming to standardize essential services within housing schemes.

The revised rules establish new management structure for societies after completion of development work. A seven-member committee will oversee their affairs, comprising four representatives of residents and three representatives of the project sponsor.

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