MHADA, builders at loggerheads, 300 redevelopment projects in limbo

May 01, 2012, 07:03 IST | Ranjeet Jadhav

Only 7 projects related to old MHADA colonies in Mumbai have been cleared since September 2010; chief officers of all the boards met in Pune to resolve the issue

At a high-level meeting, which took place in Pune yesterday, chief officers of all the Maharashtra Housing and Area Development Authority (MHADA) boards — who at one point or another had served on the Mumbai board — discussed formation of a new policy to tackle issues related to over 300 redevelopment proposals awaiting clearance from the developmental body.

Representation pic

These proposals, redevelopment of old MHADA colonies, were submitted to the Mumbai board for clearance in September 2010. Till date, only seven have been passed, as the developmental body is eager on getting the housing stock from the builders. However, builders say that while they are ready to pay the premium, they are unwilling to disclose the stock, as it will reduce their profits. Bhausaheb Dagande, chief officer, Mumbai board, MHADA, said, “The issue of redevelopment of old MHADA colonies and proposals which are pending with the developmental body were discussed in the meeting. I cannot comment any further.”

A MHADA official, requesting anonymity, revealed that the developmental body wants to form a new policy, so that the issue can be resolved at its earliest. “Negligible number of proposals were cleared since September 2010, as most of them were based on premium policy and not the housing stock policy, which MHADA is eager about. In today’s meeting this issue was discussed and some of the members were of the opinion that a new policy should be formed to resolve the issue,” the official said.

Currently, redevelopment of MHADA colonies takes place as per DC rule 33(5) and the Floor Space Index (FSI) of 2.5 is allocated to builders executing redevelopment projects. “Considering the space crunch in Mumbai, the decision of securing houses in 3:1 ratio from the builders executing redevelopment work on MHADA land, was taken to help develop an affordable housing stock for aam aadmi. This stock would then be released via lottery,” said a former Mumbai board member.

Did you know?
From January 2009 to September 2010, nearly 450 redevelopment proposals were passed by MHADA of which maximum were based on the premium policy. Mumbai board's September 2010 announcement states that MHADA is no longer interested in taking premium from builders. Instead, it made mandatory for them to give one house to MHADA for every three houses they redevelop on MHADA land. This rule is applicable to all redevelopment proposals that would be passed after September 20, 2010.

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