Delhi HC Directs DDA to Clear Pending Property Conversion Applications in Two Months
The Delhi High Court has directed the Delhi Development Authority to process all pending applications for the conversion of properties from leasehold to freehold within two months. A bench comprising Justices Prathiba M Singh and Vikas Mahajan issued the directive in New Delhi on September 28, coming to the aid of property owners from whom authorities have already collected ₹155.06 crore in conversion charges.
The court clarified that while existing pending applications must be processed strictly under the prevalent policy, the Ministry of Housing and Urban Affairs and the DDA may formulate a separate policy for future applications. The judges were adjudicating a batch of petitions filed by Delhi residents who have faced prolonged administrative delays in getting their property status converted.
According to court records, 1,373 conversion applications submitted between 2020 and 2026 remain pending before the DDA. Although 308 of those applications had already secured formal approval, the authority had still not executed the required conveyance deeds. In total, the authority had collected ₹155.06 crore from these applicants without finalising their paperwork.
During the proceedings, the MoHUA secretary submitted that the ministry and the DDA would require between two and four months to finalise a new conversion policy. The bench rejected this request, stating that granting such an extension would push proceedings into December 2026 or January 2027, leaving property conversions at a complete standstill across the national capital for an entire year.
The bench observed that the court had repeatedly impressed upon the authorities the importance of conversion and the severe hardships faced by Delhi residents. It stressed that the situation was compounded for citizens who had already deposited conversion charges under the prevalent rules and continued to wait indefinitely for DDA decisions.
The court also expressed dissatisfaction with an affidavit submitted by MoHUA, pointing out that it failed to furnish any concrete timeline for finalising the framework. The bench highlighted that previous orders issued from July 3, 2026, onwards showed that the policy had been neglected for at least six months without any tangible progress.
The matter also highlights persistent digital bottlenecks, with the DDA's IDLI portal remaining out of service since January 2, preventing residents from submitting fresh conversion requests. The High Court has listed the case for its next hearing on December 11, directing the MoHUA secretary and the DDA vice-chairman to attend the proceedings.
