More than 80 redevelopment projects in the Vasai-Virar Municipal Corporation (VVCMC) area are facing delays after the civic body flagged alleged irregularities in approvals involving additional Floor Space Index (FSI).
The issue has affected projects sanctioned between 2020 and 2025, with restrictions reportedly imposed on further construction and the issuance of Occupation Certificates (OCs). The civic administration has also approached the District Registrar over registration of sale documents involving flats and commercial units in the affected developments.
The developments have created uncertainty for original residents, homebuyers, investors and financial institutions associated with the projects.
Homebuyers and Residents Face Uncertainty
Many residents had vacated their earlier homes after developers secured construction permissions, commencement certificates and registrations under MahaRERA. Buyers subsequently invested in the redeveloped properties, while several projects also received financing from nationalised and cooperative banks.
With OCs and property registrations reportedly on hold, stakeholders could face delays in obtaining possession, completing transactions and securing formal ownership documentation. The financial exposure across the affected projects is also reported to run into thousands of crores of rupees.
The dispute centres on allegations that additional construction area or FSI was sanctioned in violation of applicable regulations. The civic action has therefore raised questions about approvals already granted and the position of projects that progressed after receiving statutory permissions.
Rajan Naik Seeks Chief Minister’s Intervention
BJP MLA Rajan Naik has raised the matter with Chief Minister Devendra Fadnavis, calling for a detailed review of the affected developments.
Naik has sought the creation of a special committee under senior Urban Development Department officials to examine each project separately and determine an appropriate course of action.
He has also proposed that projects facing technical or procedural deficiencies be considered for regularisation through mechanisms such as premium payments or Transferable Development Rights (TDR), wherever legally permissible.
At the same time, Naik has called for independent action against officials, architects or developers found responsible for any violations.
Demand to Review Restrictions
The VVCMC has maintained restrictions on projects where additional FSI was allegedly granted contrary to regulations. These measures have reportedly affected both construction activity and property documentation.
Naik has sought an immediate review or suspension of the restrictions, arguing that continuing uncertainty could affect a large number of residents and other stakeholders.
For the affected projects, the central issue now is how the authorities will reconcile the alleged approval irregularities with the interests of residents and buyers who entered into transactions after permissions had already been granted.
A project-by-project examination could determine whether individual developments require corrective measures, additional payments, revised approvals or further action.
The controversy highlights the complexities that can emerge in large-scale redevelopment when planning approvals, FSI entitlements, construction permissions and property registrations become subject to subsequent scrutiny. Until the authorities clarify the status of the affected projects, residents, buyers and lenders are likely to remain uncertain about the completion and legal documentation of their properties.
Source: The Free Press Journal
