MBRRB warns real estate developers for not kicking off redevelopment work

The Mumbai Building Repairs and Redevelopment Board (MBRRB) has started issuing warning notices to developers who have not started redevelopment work even after three years from the date of obtaining the No Objection Certificates (NOCs).

Vinod Ghosalkar, chairman of MBRRB, said that the board had issued a total of 1,336 NOCs to developers to carry out redevelopment over the past few years. Of which, only 183 projects have been completed. While in 464 projects, no work has started till date. 98 projects are incomplete and 591 projects are being redeveloped.

Ghosalkar said, "MBRRB will start acquiring the properties of those projects where no work has been initiated and the period has lapsed. The amended bill passed by the Maharashtra government in its monsoon assembly session, 2020, has been signed by Governor Bhagat Singh Koshiyari and sent to the President of India, as the acquisition of land requires the central government’s permission. Once the central government approves the amended bill, the board will start its action."

In September, 2020, the state legislation passed a bill and amended the Maharashtra Housing and Area Development Act, 1976, which enables MBRRB to acquire dilapidated cessed properties, where land holders or developers are found stalling redevelopment. The amendments allow the government to suspend a land owner’s right to the property and forcibly acquire and redevelop them if the owner does not initiate redevelopment within a given time frame.

There are around 16,000 cess buildings. MBRRB is responsible to collect cess and repair these buildings from the cess collection. These buildings are more than 100 years old and located in South Mumbai.

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