The Maharashtra Housing and Area Development Authority (MHADA) has set a goal to finish the structural examination of 1,300 cessed structures in Mumbai within the next year as part of the Maharashtra government’s ambitious 100-day action plan. According to MBRRB Chief Officer Milind Shambharkar, 500 buildings have been given priority for evaluation under this program; 171 of these have already been inspected, and reports have been received for 32 of them.
Cessed buildings, which are typically old and structurally vulnerable, fall under the jurisdiction of the Mumbai Building Repairs and Reconstruction Board (MBRRB). Tenants residing in these buildings contribute a nominal ‘cess’ tax to MHADA to fund maintenance and repair efforts. As part of the ongoing process, occupants of 13,000 cessed buildings will soon receive notices under Section 79(A) of the MHADA Act. This provision mandates property owners to submit a redevelopment proposal within six months, provided at least 51% of tenants approve the plan.
An important milestone is that Goregaon’s long-stalled Patra Chawl rehabilitation project is almost finished. Authorities are getting ready to distribute 672 apartments through a lottery system, like to the one employed for the Bombay Development Directorate (BDD) Chawls project, following a protracted 16-year wait.
Initiated in 2009, the redevelopment faced major setbacks when the original developer went bankrupt in 2017, halting progress at just 40% completion. Tenants, who had vacated their homes expecting new accommodations within 36 months, were left in limbo. The situation worsened when rent payments of INR 40,000 per month ceased in 2014-2015, prompting legal battles, including proceedings at the National Company Law Tribunal (NCLT).
Given the seriousness of the problem, MHADA ended the developer’s contract in 2018 as a result of illegal land transactions, non-payment of rent, and project delays. In February 2022, Relcon, a new contractor, was brought in to finish the refurbishment, which was expected to cost INR 320 crore. MHADA reinstated rent payments in 2018 to alleviate the miseries of tenants, giving each household INR 25,000.
In a move aimed at reducing bureaucratic delays, MHADA recently announced the launch of a digital platform for lease deed conveyance in Mumbai. This online system will enable residents and developers to apply for, track, and manage lease documents efficiently, ensuring greater transparency and smoother property transactions.
The Maharashtra government has demonstrated a significant commitment to fixing the city’s ageing infrastructure and enhancing tenant welfare through recent initiatives in structural audits and rehabilitation. The Patra Chawl project is almost finished, which is a significant milestone that will provide long-needed respite to the displaced residents. A further step towards modernising property administration is the implementation of the online lease deed system.
With MHADA actively conducting building audits, fast-tracking delayed redevelopment projects, and digitizing key processes, Mumbai’s housing sector is set to witness significant improvements, ensuring a safer and more efficient living environment for its residents.
Source: Prop News Time
