In order to stimulate growth in the real estate sector, the City and Industrial Development Corporation (CIDCO) has decided to issue a provisional no-objection certificate (NOC) for using additional floor space index (FSI) in Navi Mumbai. The use of additional is FSI allowed under the ‘Unified Development Control and Promotion Regulations’ (UDCPR) 2020 across Maharashtra, including municipal corporation and CIDCO areas.
The NOC will enable the licensee/lessee (plot or building owners) to obtain development permission from the concerned planning authority like Navi Mumbai Municipal Corporation (NMMC) or the Panvel Municipal Corporation (PMC) and CIDCO for its jurisdiction like Ulwe and Dronagiri for the consumption of additional FSI.
CIDCO which has given the plots on lease in Navi Mumbai will allow plot lessee to use additional FSI by collecting premium.
“The Provisional NOC for consuming additional FSI under UDCPR 2020, the licensee/lessee will be able to initiate the development by obtaining development permission from the concerned planning authority. This decision taken by CIDCO will surely stimulate growth in the real estate sector of the region,” said Dr. Sanjay Mukherjee, Vice-chairman and managing director of CIDCO.
The recently implemented UDCPR by the state government is applicable to entire Maharashtra except for Municipal Corporation of Greater Mumbai jurisdiction. CIDCO is lessor for all lands in Navi Mumbai. Thus, it is necessary for the plot owners who are willing to utilise the additional FSI under this regulation, to obtain development permission from local planning authorities i.e., NMMC, PMC and CIDCO for nodes like Ulwe, Dronagiri, etc. For this, many licensee/lessees already are approaching CIDCO.
“As per NMDL(A)R, 2008 CIDCO as a lessor is entitled to recover additional lease premium for granting additional FSI and Change of Use of the demised land. Although the UDCPR permits for the consumption of additional FSI, the scale of premium to be recovered by Lessor for grant of such FSI is not specified in the UDCPR. Thus, CIDCO is in process of framing a policy to determine the rate of additional premium to be charged for granting additional FSI which is admissible as per the provisions of UDCPR,” said a senior official from CIDCO.
The current pandemic has adversely affected the overall economy. Considering the need of stimulating the real estate sector which has been facing a recession due to pandemic-induced lockdown, CIDCO has decided, to issue a Provisional NOC to licensee/lessee on part payment towards additional FSI or Change of use of land as per the provisions of UDCPR. This is a temporary arrangement till the policy for the rate of additional lease premium to be charged is finalized.
