A redevelopment proposal cannot be modified at the final stage in the presence of authorities, a legal expert has clarified, outlining key rules governing housing society redevelopment in Mumbai.
Responding to queries from a resident, Sharmila Ranade of Mumbai Grahak Panchayat explained that developers are allowed to revise their bids only before the shortlisting process begins. Once proposals are evaluated by the project management consultant and a comparative chart is prepared based on merit, experience, reputation and pricing, shortlisted bids are circulated among society members.
As per Section 79A of the Maharashtra Co-operative Societies Act, the final selection of a developer is carried out by the general body in the presence of a registrar’s representative. However, she emphasised that “A developer cannot make last-minute changes in the bid in the presence of the representative from the registrar’s office.”
The general body holds the authority to accept or reject proposals. A two-thirds quorum is required at the special general body meeting, and at least 51 per cent of members must provide written consent to finalise the developer. If no proposal secures majority support, the bids can be rejected and the process restarted.
Ranade further noted that if a redevelopment plan shifts from a standalone project to a cluster model, fresh consent from members becomes mandatory. This is because regulations under Development Control and Promotion Regulations (DCPR), including permissible floor space index (FSI), differ for such projects. Societies may also renegotiate terms to ensure benefits from additional FSI are shared.
In a separate query, she clarified that when a society is managed by an administrator appointed by the registrar, all operational powers rest with that authority. Members seeking to sell flats must obtain a no-objection certificate (NOC) after verification of records, before proceeding in compliance with applicable rules.
Source: THe Free Press Journal
