The Maharashtra Government has approved the conversion of a 7,658.33 sq.m. parcel of land in Sion (F/North Ward) from leasehold to freehold, paving the way for the plot to be leased to the Vishva Hindu Parishad (VHP) for 30 years for permitted medical and educational purposes.
The order was issued by the Urban Development Department (UDD) under Government Resolution.
The decision follows proposals submitted by the Deputy Municipal Commissioner (General Administration), Brihanmumbai Municipal Corporation (BMC) on October 10 and November 13, 2025. After reviewing the request, the State Government granted approval under Section 92(D)(D) of the Mumbai Municipal Corporation Act, 1888, which requires State sanction for long-term lease or freehold conversion of municipal land.
What the Approval Includes
1. Land Details
- Plot: CTS No. 12 (Part), F/North Ward, Sion
- Area: 7,658.33 sq.m.
- Type: Municipal land previously under leasehold category
- Converted to: Freehold
- Lessee: Vishva Hindu Parishad (VHP)
- Lease Period: 30 years starting June 25, 2025
2. Financial Terms
- Annual Ground Rent: ₹10,186 at the prevailing ready reckoner rate
- One-time Premium:
25% of the freehold valuation — ₹9,72,56,500 to be paid to BMC by the allottee.
3. Use Restrictions
The land is affected by certain reservations under the Development Control and Promotion Regulations (DCPR) 2034.
Therefore:
- Only medical and educational activities are permitted.
- BMC must verify land-use compliance before issuing final approvals.
- Commissioner, BMC, will be responsible for ensuring legal and planning compliance.
4. Administrative Provisions
- All payments must follow BMC’s updated schedule of rates.
- The order is digitally signed and published on the State Government website under Code 202512041914100825.
Why This Matters
The Sion ward—one of Mumbai’s most densely populated zones—faces severe pressure on public infrastructure. Opening up land for institutional use, especially medical and educational, is seen as a step toward bridging civic gaps.
At the same time, transfer of municipal land to private organisations often triggers debate regarding transparency and prioritisation of public need. Given the size and location of the plot, this decision is likely to draw political and civic scrutiny.
Also Read: Govt to Allow Conversion of Leasehold Land to Freehold at 25% Above Ready Reckoner Rate
