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CONSENT OF 51% FOR REDEVELOPMENT OF MHADA, CESSED, SRA AND SMALL BUILDINGS

 

To curb corruption and sabotage in redevelopment of all buildings, including private ones, the tenant consent clause has been relaxed. The State Government has approved Development Plan (DP) 2014-2034. However, the new DP 2034 has curtailed the rights of tenants residing in old residential buildings of Maharashtra Housing and Area Development Authority (MAHDA), Cessed buildings and Slum Rehabilitation Authority (SRA) buildings. Earlier, to undertake redevelopment work of these buildings minimum 70% of tenants was required which has now been reduced to 51%. The reason given behind the move is to speed up the redevelopment projects in Mumbai city under the above scheme.

The Slum Redevelopment Authority (SRA) projects, however, will require consent from 70 per cent residents and they would be subjected to online clearance. If a Developer fails to start work within three months after taking up a project, the SRA will take over the work.

There is some good news for old societies, too. For private housing societies older than 30 years, 15% additional built up area will be allowed for each tenement without charging any premium. This will boost redevelopment of such societies too, as it will mean every tenant will get one additional room.

The new DP has moved the focus on island city again, while the base FSI has been kept the same to 1.33 in Island city, the maximum permissible FSI has been increased to 3, while there has been no change in the FSI in suburbs. Apart from the base FSI of 1.33, the Developer will be allowed to use TDR and also get additional FSI totalling up to 3 by paying a premium.

Earlier the usage of TDR was allowed only in suburbs and now it has been introduced it in the island city also. The reason is the population in the island city has been considerably reduced in the last few years and most development that takes place is redevelopment of old cessed buildings. This new FSI boost will help Developer to increase the scale of redevelopment.

In a further major relief for redevelopment of small buildings having fewer than 11 flat owners, now the requirement of consent of 51% would be enough instead of earlier of 70%. Most of the private smaller buildings registered under the Maharashtra Apartment Ownership Act (MAOA) shall now stand to benefit.

A minimum of 11 members is required to mandatorily register a housing society. Anything less than that means the tenement gets registered under the 1971 MAOA legislation.

The reduction in percentage of obtaining consent is to avoid delay in redevelopment projects. In other words, it has been decided to amend the MAOA so that instead of 70%, the flat-owners can go ahead with 51% consent. This move of government would certainly help people located in south Mumbai, Thane, Navi Mumbai and Pune.

Buildings which have been registered under the MAOA Act, including cessed buildings in south Mumbai, will benefit. With the Real Estate Regulatory Authority (RERA) in place, the government is considering amending both MAOA and the Maharashtra Ownership Flat Act (MOFA).

 

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