Mumbai, June 30, 2025 – In a significant announcement that could impact thousands of landowners and prospective homebuyers, Maharashtra Revenue Minister and BJP State President Chandrashekhar Bawankule has stated that the state government is set to introduce a bill allowing 1 guntha plots (approximately 1,089 square feet) to be legally subdivided and registered as individual holdings.
This proposal aims to amend the existing Maharashtra Prevention of Fragmentation and Consolidation of Holdings Act, 1947, which currently prohibits division of agricultural land into very small parcels to avoid unviable fragmentation.
Speaking at a press conference in Delhi on June 24, Bawankule said:
“We are bringing this change so that small land parcels can be legally registered. This will particularly benefit farmers and small landholders.”
The bill is expected to be tabled during the Monsoon Session of the Maharashtra Assembly, which begins today.
📌 What Will Change?
- Under current law, subdivision of agricultural land into units smaller than the minimum threshold is illegal and cannot be individually registered.
- The proposed amendment would allow 1 guntha plots (approx. 1,089 sq ft) to be legally subdivided and given separate survey numbers—but only if they fall within Residential Zones.
⚠️ Important Clarification
This move does not mean that any agricultural land can be immediately used to build houses.
Even if a 1 guntha plot is legally subdivided:
✅ It must either already be designated as Residential Zone in the government’s development plan
or
✅ It must obtain an official NA Conversion Order (Non-Agricultural Permission) from the Revenue Department.
Without NA conversion:
- Any construction is illegal.
- No building plan approvals will be granted.
- Banks will typically not provide home loans.
🏙️ What Does This Mean for Mumbai and MMR?
In the Mumbai Metropolitan Region, a 1 guntha plot is large enough to accommodate a 2BHK home.
This reform could open opportunities for:
- Small developers to buy and register smaller land parcels legally.
- Farmers to monetize smaller pieces of their holdings.
- Homebuyers to access registered plots of modest size.
However, legal experts warn that buyers must thoroughly verify land use and NA status before purchasing, to avoid fraud and penalties.
Also Read: MMRDA Seeks Maharashtra Government Guarantee for ₹14,000 Crore Infrastructure Bonds
