The state-run Maharashtra Housing and Area Development (MHADA) earned a revenue of Rs 2,034 crore toward Floor Space Index (FSI) premium and Rs 250 crore toward development cess, open space deficiency, staircase premium, fungible FSI and labour cess following the rebate given in the payment.

“MHADA's capability and ability is being proved. I am happy to say that the hard work put in by my colleagues and officials and the trust placed in us by the people has reaffirmed the credibility of the general public about MHADA,” said Housing Minister Jitendra Awhad on Wednesday.

As per the government notification, dated July 3, 2017, co-operative housing societies have been given the option to redevelop MHADA colony buildings on the basis of a premium-based principle instead of housing stock share principle.

Accordingly, from July 2017 to August 2019, 106 new projects were tendered. A surplus revenue of Rs 585 crore was collected by MHADA Mumbai Board. A letter of intent has been issued and a revenue of Rs 335 crore has been collected.

Between January and August, tender letters (25% premium) were issued to a total of 355 institutions, 182 new and 173 old, and a record revenue of Rs 1,114 crore was collected, informed Awhad. About 25,000 houses will be available in the next 2-3 years. Employment will be available to various sectors of the construction industry. As the original members of the buildings get houses with an area of 100 to 150 feet, their standard of living will increase.