Bengaluru's One-Time Settlement Scheme: Converting B-Khata Properties to A-Khata Status

Bengaluru:

The Greater Bengaluru Authority has introduced a significant relief measure for property owners by announcing a one-time settlement scheme that permits 'B-Khata' property owners to convert their holdings into 'A-Khata' status. Properties under 'B-Khata' classification lack full legal ownership rights and cannot be used for obtaining building plan approvals, trade licenses, or bank loans.

This initiative is anticipated to bring hundreds of thousands of irregular properties under proper regulation and enhance property management systems throughout the city.

According to official statistics, Bengaluru currently has approximately 25 lakh documented property khatas, comprising 7.5 lakh B-Khata and 17.5 lakh A-Khata properties. Furthermore, an estimated 7-8 lakh properties and sites remain undocumented without proper approvals, including those that have never applied for even a 'B-Khata' designation.

B-Khata entries were previously assigned to properties developed without appropriate approvals, such as revenue sites on agricultural land, non-agricultural plots lacking KTCP Act clearances, and flats or multi-story buildings without approved building plans or occupancy certificates (OC).

Owners of these B-Khata properties face numerous challenges, including inability to secure building plan approvals, lack of legal standing, and difficulties obtaining financial loans, as most banking institutions do not recognize B-Khata properties as valid collateral.

The new conversion program implemented by the BBMP features an online process to transform B-Khata sites into A-Khata through a simplified, software-driven approval system. However, the scheme is exclusively available for individual sites, with flats and multi-story apartment buildings being ineligible for conversion.

For properties up to 2,000 square meters, owners can submit applications online using mobile-based OTP login and Aadhaar authentication. The road in front of the property must be either a declared public road or a private road with the owner's consent for conversion. While no application fee is charged, applicants must pay 5% of the site's guidance value online upon verification. Once approved by the City Corporation Commissioner, the A-Khata is automatically generated.

For properties exceeding 2,000 square meters, applications must be submitted through a registered architect or engineer. A scrutiny fee of Rs 500 applies, and applicants must upload required documentation and CAD (computer-aided drawings). Following inspection and approval, a Single Plot Approval Certificate is issued, facilitating the automatic conversion from B-Khata to A-Khata status.

According to officials, this initiative aims to help citizens regularize their properties while enabling the BBMP to incorporate previously unregulated developments under its jurisdiction. The scheme is viewed as beneficial for all parties involved, ensuring regulatory compliance and increasing civic revenue through property and other taxes while providing long-awaited legal clarity to property owners across Bengaluru.