Maha Govt To Unveil Regulatory Framework For Redeveloping Mumbai’s ‘Pagdi’ Buildings; Know Key Provisions Of Proposed Policy

Nagpur: Maharashtra Deputy Chief Minister Eknath Shinde on Thursday, December 11, said that the state government will soon announce a new regulatory framework to redevelop "Pagdi" buildings in Mumbai. Shinde, who holds the housing portfolio, said that the city has over 19,000 Pagdi buildings, most of them built before 1960.

What Are Pagdi Buildings?

Pagdi is a traditional tenancy rental model, where the tenant is part-owner of the house, enjoys nominal rental rates and also has both subletting and selling rights of the property.

The Deputy CM said that though some of these pagdi buildings have undergone redevelopment, several have collapsed, however, nearly 13,000 are still awaiting reconstruction.

While speaking to reporters, Shinde said, "The redevelopment of Pagdi buildings has received a poor response because of legal disputes and structural complexities. A fair and balanced framework that protects the rights of both tenants and landlords is essential."

He noted that for tenants from economically weaker sections and low-income groups, Floor Space Index (FSI) incentives alone are not enough, and the government will ensure the full reconstruction cost of their existing homes is covered.

Key Provisions Of The Proposed Policy

- The tenants will receive FSI equal to their current occupied area

- The landlords will receive FSI corresponding to their land-ownership entitlement

- The economically weaker and low-income Pagdi occupants will be given incentive FSI to cover free reconstruction.

- If height or other restrictions prevent utilisation of the full FSI, the remaining balance will be provided as Transferable Development Rights (TDR), as reported by PTI.

28,000 cases Tenants vs Landlords Pending In Court

The deputy CM said nearly 28,000 cases between tenants and landlords are pending in small-cause courts, which is delaying redevelopment for decades. He added that the government with the high court's approval, will set up additional fast-track courts to dispose of these cases within three years.

(With inputs from PTI)

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