Authorities have mandated that only legally compliant commercial land parcels will be included in the official guidance value framework, aiming to raise transparency and accountability in land pricing. Plots must now have verified titles, updated zoning approvals, environmental clearances, and full regulatory compliance to qualify for formal valuation. This rule ensures that guidance rates truly reflect marketable, ready-to-develop land rather than parcels mired in legal uncertainty. The move is expected to reduce transaction risks and protect investors from future disputes. It marks a decisive shift toward stronger governance in commercial real estate markets.

The compliance verification process will involve cross-departmental audits covering land use certificates, building code adherence, and title authenticity. Non-compliant properties will be excluded from updated guidance notifications until they rectify issues and achieve full clearance. This proactive exclusion mechanism discourages speculative holding of disputed or illegally developed land parcels. Developers are already responding by fast-tracking legal verifications to avoid losing visibility in the next guidance cycle. Financial institutions, too, are welcoming the change, seeing it as a way to safeguard mortgage and loan portfolios.

This policy shift highlights a clear movement toward building a disciplined, investment-friendly commercial land ecosystem. By linking guidance value eligibility directly to legal compliance, governments aim to enhance market confidence, streamline transactions, and promote sustainable urban growth. It places a premium on transparency, rewarding landowners who proactively maintain clear, compliant records. Over time, this is expected to foster a more efficient, reliable, and professionally managed real estate environment. Legal compliance is now not just a regulatory requirement but a strategic advantage in the evolving land markets.