The Maharashtra Housing and Area Development Authority (MHADA) has directed a Thane-based developer to stop charging additional development fees from 132 flat winners under the Economically Weaker Section (EWS) category of the Konkan Board’s Dhokali housing lottery. The developer is instructed to charge only the advertised flat prices, along with permissible government fees, providing relief to beneficiaries of the 2023 lottery.
In a joint meeting with eligible flat winners, MHADA officials, and the developer’s representatives, MHADA Vice President and CEO Sanjeev Jaiswal emphasized adherence to the guidelines of the 20% All-Inclusive Scheme of the Unified Development Control and Promotion Regulations (UDCPR-2020). This scheme aims to provide affordable housing to citizens in the EWS and Low Income Group (LIG) categories. Under this scheme, MHADA advertises flats priced with an additional 25% construction cost included. The remaining amount, excluding administrative fees, is to be paid by beneficiaries directly to the developer, making the developer’s demand for extra charges unacceptable.
The developer had requested ₹3,58,635 as development charges from each beneficiary, which violated the agreed terms. The directive instructs the developer to only levy applicable government fees and provide beneficiaries with a detailed breakdown of the charges. The developer is also required to complete flat agreements with all beneficiaries and submit a report on corrective actions taken.
This issue arose after MHADA’s lottery held in February 2024, offering 132 flats to EWS beneficiaries at Plot No. 380, Highland Springs, Dhokali. Successful applicants were to pay 1% of the total flat cost to MHADA as an administrative fee, with the remaining amount and government-mandated fees payable directly to the developer. Despite the advertised flat price of ₹18 lakh, the developer issued demand letters for an additional ₹9 lakh, raising serious concerns among beneficiaries.
Following these excessive demands, MHADA had previously instructed the developer not to charge beyond government-sanctioned fees and to issue revised demand letters in compliance with RERA regulations. Due to the developer’s lack of response, several beneficiaries filed complaints during the Lokshahi Din grievance redressal meeting.
MHADA’s swift action provides clarity and relief to affected beneficiaries, confirming that no additional charges beyond those sanctioned by the government are to be collected under this scheme. Beneficiaries are now assured of purchasing flats at the originally advertised rates, without unforeseen expenses.
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