Construction company property

A company wants to develop its property and avail bank borrowing for construction.  My question is that interest during construciton period will be captalised.  Interest after construciton period will be set off against rental income alongwith municipal taxes as mentiond  section 22, and 23 of Income tax act 1956.  What will be sceanrio if the company constructs the property after April 2011 where the new direct tax code comes into effect. There instead of 30% deduction 20% deduction will be allowed.  To sum up

1)  Wheteher interest during construction period will be set off or captialised?

2)  What will be effect of the property under New Direct tax code

Thanks in advance

CS A Rengarajan