The revamp of these colonies was stalled due to one of the clauses of Development Control Rules (DCR) 33(5)
Mumbai : The decision by the state government to include modifications in the Development Control Rules 33(5) to begin the redevelopment of its 56 colonies is likely to bring down the number of houses in the next year’s Maharashtra Housing and Area Development Authority’s (MHADA) lottery.
The revamp of these colonies was stalled due to one of the clauses of Development Control Rules (DCR) 33(5). The clause restricted developers from bidding for the redevelopment as it demanded housing stock instead of a monetary premium.
The state government had issued a Government Resolution (GR) on July 3, which said that the FSI for developers undertaking the redevelopment of Mhada colonies, has been exceeded up to four in case of plots having area of 4,000 square metre and above, whereas plots up to 4,000 square metre will get FSI up to three by paying a monetary premium.
The authority will apparently lose over 10,000 flats after the developers are awarded with increased Floor Space Index (FSI) to build saleable flats.
The move will benefit over two lakh MHADA residents and developers as well. However, this will impact the authority’s housing stock that they were supposed to receive from the developers according to the tender conditions of the redevelopment.
Speaking to Free Press Journal, a senior MHADA official said, “According to the government resolution, the developer, redeveloping structures having plot area below 4,000 square metre will have to pay a monitory premium instead of housing stock. Earlier, the option of paying monetary premium was for plots below 2,000 square metre. Since most of the plots fit in the category of the modified rule, the authority will lose its housing stock. The total number of flats that are to be received through housing stocks are more than 10,000.”
Currently, the authority has an ongoing project at Goregaon which will be completed by 2019. After completion of the project, the total number of flats will be included in MHADA lottery of the same year. However, the authority has around 700-800 flats in this year’s lottery which does not include new constructions. The flats are the leftovers of previous year’s lottery.
Officials said with such land scarcity to build more houses, the number of houses in next year’s lottery will go down.