The ever-increasing dominance of branded developers in Indian residential real estate is shifting homebuyer attention from ready-to-move or almost-complete projects to newly launched projects. Latest ANAROCK Research data shows that over 40% of approx. 4.77 lakh homes sold in 2023 was in newly launched projects. The share of newly launched supply sales in pre-pandemic 2019 was much lower at 26% of approx. 2.61 lakh homes sold that year.

• In 2020, of approx. 1.38 lakh units sold in the top 7 cities, 28% were launched during the year
• In 2021, 34% of approx. 2.37 lakh units sold in the top 7 cities were new launches
• In 2022, out of approx. 3.65 lakh units sold, 36% were new launches

Among the top 7 cities, NCR saw the lowest absorption of newly launched homes – of 65,625 units sold in 2023, about 27% were launched during the year. The remaining units were sold in projects launched before 2023. Interestingly, Gurugram outperformed other markets in the NCR region – of 36,970 units sold in Millennium City in 2023, at least 35% were newly launched.

Anuj Puri, Chairman – ANAROCK Group, says, “The fact that 40% of newly launched housing stock has already been sold across the top cities strongly underscores increasing homebuyer confidence on new projects. Ready homes became the biggest draw amid project delays in the past, but the trend is now changing. This is attributable to the increasing market share of financially strong branded developers with sound completion track records in the last 2-3 years.”

An increasing number of homebuyers are reposing their faith in these players, and newly launched projects are steadily gaining traction. These players have recorded very healthy sales since the pandemic, thanks to a stronger focus on market research.

“Also, in contrast to earlier years, developers are launching projects that dovetail with actual demand,” says Puri. “Their focus on good locations and appropriate unit sizes and configurations is very obvious. Several leading developers are snapping up land parcels across key cities to develop residential projects that are aligned with what customers want. ANAROCK data indicates that there were at least 97 separate land deals for over 2,707 acres closed in 2023 across the country, with at least 72% of the sold land earmarked for residential development.”

The NCR real estate market has seen a complete transformation from previous times; nevertheless, a residual hesitancy towards under-construction homes in the region is a reminder of its years of oversupply and speculative pricing.

“With developers now carefully analysing and calibrating supply and ticket sizes, we are unlikely to see mistakes from the past being repeated,” adds Puri. “Markets like Gurugram are seeing stellar performances by branded players, with projects being sold out within a short time of their launch.”

City-wise Absorption Trends

At 27%, NCR saw the lowest sales share of newly launched units in 2023. Gurugram has outperformed other key markets within the NCR with new supply seeing significant sales. Other cities with a low fresh supply absorption share include Kolkata and MMR at 30% and 36%, respectively.

Source: ANAROCK Research

• In MMR, of 1,53,870 units sold in 2023, approx. 36% were new launches. In 2019, of 80,870 units sold, 23% were in new units
• In NCR, of 65,625 units sold in 2023, approx. 27% were launched in the same year. In 2019, of 46,920 units sold, the sales share of newly launched units was 22%.
• In Chennai, of 21,630 units sold in 2023, newly launched units accounted for a healthy 58% share – up from 28% of 11,820 units sold in 2019.
• In Kolkata, of 23,030 units sold in 2023, about 30% were newly launched. In 2019, approx. 13,930 units were sold, of which 23% sales were of newly launched units.
• In Bengaluru, of 63,980 units sold in 2023, the sale share of newly launched units was 51% – up from 27% of 50,450 units in 2019.
• In Pune, of 86,680 units sold in 2023, the sale share of newly launched units was 41% – up from 34% of 40,790 units in 2019.
• In Hyderabad, of approx. 61,715 units sold in 2023, approx. 50% were launched in the same year – significantly up from 28% of approx. 16,590 units in 2019.

Also Read:Shapoorji Pallonji Real Estate Announces BKC 9

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·                A total of 1,947 acres of land was acquired by real estate developers across the country with a development potential of ~176 million sq ft.

·                The total value of these land transactions stood at INR 32,203 crore.

·                 Around 1,365 acres (~70%) was acquired for proposed residential projects with a development potential of around 130 million sq. ft.

·                These residential developments would likely have an estimated sales potential of INR 138,750 crore.

·                Delhi NCR led both in terms of number and area of land deals, with 415 acres acquired across 36 separate transactions valued at approximately INR 9,120 crore.

·                MMR had the highest transacted value of land at INR 11,222 crore which translates into average per acre transacted value of INR 39 crore.

The year2023 stands out as a record-breaking year for real estate across all asset classes reflected by the strong performance indicators of both demand and supply. As the real estate sector continues its journey on a steep growth curve, developers are building a robust supply pipeline by investing in acquisition of land across the country. A total of 1,947 acres of land valued at INR 32,203 crore in 111 separate deals were acquired by real estate developers in 2023 as compared to 1,603 acres in 2022 (valued at INR 18,112 crore), up by 21% Year-on-Year (Y-o-Y). The land acquired has a development potential of ~176 million sq. ft.

The average transacted value of land has touched INR 16.5 crore per acre in 2023, up by 46% as compared to the previous year. This staggering increase is attributable to higher land transactions in Tier 1 cities and established prime micro markets. In addition, Mumbai Metropolitan Region (MMR), the most expensive real estate market in the country doubled its share in total land area transacted in India from 7% in 2022 to 15% in 2023 and contributed significantly to this increase in per acre transacted value.

Tier 1 cities accounted for 65% of the total land transacted in the country. Developers are strategically acquiring land in both prime locations in the metro cities as well as entering newer markets and pockets of growth.

Land Transaction Snapshot-2023

Source: JLL Research

In 2023, Delhi NCR led both in terms of number and area of land deals, with 415 acres acquired across 36 separate transactions valued at approximately INR 9,120 crore. Select established players acquired multiple land parcels across Delhi NCR. Out of these 415 acres, around 264 acres (64%) valued over INR 5,300 crore was acquired in Gurgaon alone. This was followed by Noida with over 59 acres (14%) land being acquired valued at around INR 1,775 crore. Delhi, Faridabad and Sonipat contributed the rest.

Bengaluru followed Delhi NCR, with close to 305 acres of land acquisitions across 14 separate transactions valued at INR 3,412 crore. MMR saw 24 separate land deals spread over 289 acres valued at INR 11,222 crore – the highest in the country. This translates into average transacted value of INR 39 crore per acre, which is 2.3 X of the average pan India land value.  In Chennai, a total of 209 acres of land was acquired valued at INR 1,220 crore across 8 separate deals.

Other cities like Nagpur, Ludhiana, Ahmedabad, and Ayodhya experienced prominent developers acquiring land. Ludhiana led in terms of area acquired in Tier 2 and 3 cities with around 320 acres of land transacted.

 Source: JLL Report

Note: Delhi NCR includes NCT of Delhi, Gurgaon, Noida, Faridabad and Sonipat. MMR includes Mumbai, Thane, Panvel and Khalapur. Others include Ludhiana, Nagpur, Ayodhya, Ahmedabad, Dholera and Sanand. The development potential is estimated based on the permissible FAR/FSI allowed in the respective micro markets where the land has been transacted. Joint Development agreements (JDAs) are not included for the analysis. Only outright purchases by real estate developers are considered for the study.

The residential segment led the way in land transactions locked in the year 2023.

“With a surge in demand for housing, developers are actively acquiring land parcels for building future supply pipeline. Out of the 1,947 acres acquired in 2023, 1,365 acres (~70%) was acquired for proposed residential projects with a development potential of around 130 million sq. ft. These residential developments would likely have an estimated sales potential of INR 138,750 crore. The launches of new residential projects are expected to strengthen further through new land acquisitions in strategic locations and growth corridors” said Dr Samantak Das, Chief Economist and Head of Research and REIS, India, JLL.

Land Transactions Snapshot for proposed residential developments.

2023 was a bonanza year for residential markets as sales were up by 26% Y-o-Y. Highest ever annual sales of 271,800 units were recorded in 2023, surpassing the peak seen in 2010 at 216,700 units, by 25%. Residential launches in 2023 witnessed a growth of 19% Y-o-Y.

Going forward in 2024, we expect land transactions to remain steady with developers expanding their land banks on the back of expected moderation in interest rates, growing demand for housing and support from institutional funding agencies. Infrastructure changes, specially enhanced metro connectivity between various micro-markets, will throw up new pockets of growth within each city.

Also Read:MahaRERA and Advertising Standards Council of India (ASCI) collaborate to identify erring developers

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Compliance with this provision will remain an important criterion in the proposed grading of projects.

All developers should set up a “Grievance Redressal Cell” for their respective projects to resolve the grievances of home buyers. MahaRERA has appealed to all the developers through a circular. There should be at least one Grievance Redressal Officer dedicated to this cell and his name, contact number should be prominently displayed at the project site. Moreover, MahaRERA has also suggested that it should be prominently available on the website of the developer.

Initially, the marketing system of the project is in contact with the customer while buying or registering a house. Many projects do not specify who to contact later if there are any complaints or problems. In that case, the customer does not know where to go. As a result he has to face difficulties in resolving his complaint.

This often leads to misunderstandings and complaints due to lack of officially reliable information. It can also cause problems in project completion.

For this, it has been pointed out by MahaRERA that if all the developers set up a dedicated grievance redressal cell for their respective projects, this issue can be kept under control as the complainant will get official and reliable information on time. Moreover, MahaRERA has also received such feedback from experts in this field from time to time.

Therefore, MahaRERA through a special circular has urged all developers to set up a dedicated customer grievance redressal cell. The details of how many complaints have been received and how many complaints have been resolved by these developers should also be posted on the website. This will help increase the credibility of the project.

MahaRERA has already announced the grading of projects registered with MahaRERA from January 23 on the basis of certain criteria. MahaRERA has announced that the establishment of a project-wise dedicated grievance redressal cell will also be an important criterion.

Pradeep Aggarwal, Founder & Chairman, Signature Global (India) Ltd. Said, “Every industry, including banking, insurance, and consumer durables, has a grievance redressal mechanism to address post-sale issues and problems faced by customers. It is crucial for real estate developers to adopt such a mechanism in order to enhance the trust of home buyers and provide them with a sense of security. We appreciate the initiative taken by MahaRERA to establish a system for grading real estate developers based on the presence of a grievance redressal wing. In fact, it should be considered by RERA authorities of all states.”

Also Read: MahaRERA fine Builders for printing ads without MahaRERA number

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Decarbonization of the built environment is complex, as construction sector accounts for about 39% of energy-related carbon emissions emanating from building materials, construction and operations.  Decarbonization requires rigorous attention across every aspect of building design, construction and operations. This can range from challenges such as limited availability of low carbon building materials and products, lack of proper installation and training to execute highly energy efficient designs, lack of standardized building codes, costing and durability of sustainable materials, and lack of systems for reusing and recycling construction waste etc.

“The real estate sector now has a serious intent to reduce operational emissions over the last few years. Sustainability rating schemes such as LEED and BREEAM have become more popular, signifying the groundwork towards green buildings. At the same time, it is important for businesses to address net zero built environment throughout the life of a building. This starts from material procurement and supply chain to construction completion, and importantly building maintenance. These can be done through aggressive R&D resulting in innovation, and adopting an inclusive approach towards decarbonization”, said Antao Argenio, COO, Colliers India.

Developers’ approach

There is a perceptible shift seen in developers’ preferences towards developing high performing assets to reduce environmental impact. Typically, green buildings are seen to have higher occupancy levels and rental premiums. This has led developers to prioritize sustainability in their real estate portfolios.

• Adopt design led approach wherein measures for decarbonization start from the planning stage
• Addressing areas for improvement in existing buildings, especially in terms of renovations and replacement of materials.
• Aiming for green certifications in early stages of construction
• Efficient management of carbon during deconstruction of building through recycling and reusing residual waste

Occupiers’ approach

Owing to the benefits such as lower operational costs, improved indoor environment, low carbon footprint and stronger brand positioning, occupiers are increasingly preferring high performance buildings. Green buildings also give higher returns and increased workforce productivity.

·       Enter green leases with developers

• Reduce operational emissions through efficient space management
• Use of technology to optimize the efficiency in building services
• Mandatory sustainability reporting and climate impact disclosures

Occupiers and developers are increasingly collaborating by entering into green leases, as they advance their commitments towards net-zero transition. Green leases are agreements between landlords and occupiers where both parties undertake specific responsibilities to improve environmental performance of the building.

“Decarbonization of the Built sector is pivotal in achieving global carbon reduction goals, paving the way for a more sustainable and greener and an inclusive future. It is imperative to adopt a lifecycle approach from construction to operation & maintenance and the final disposal of the built structure. This necessitates a collaborative approach amongst investors, developers, and occupiers to achieve net-zero commitment. They need to identify aspects and create strategies around sustainability, to especially lower carbon emissions,” said Vimal Nadar, Senior Director and Head of Research, Colliers India.

Government’s approach

• Increasing investments in R&D
• Create standardized building codes
• Provide incentives for green retrofitting and development of high-performance buildings
• Targeted education at various levels

The government is also currently revisiting its existing environment policies and is making efforts to make them more holistic and comprehensive. Initiatives such as Green Hydrogen policy, National solar mission are expected to further boost decarbonization efforts in the country.

Also Read: Suo motu action on Developers advertising projects without MahaRERA registration

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Lodha, developer, reported yet another strong performance with pre-sales of INR 2,814 crores for 1QFY23 showing a robust +1857cr/+194% YoY growth. Collections in India were INR 2,616 crores, +53% YoY. Net debt reduced by INR ~450 crores to
INR 8,858 crores.

Commenting on the performance, Abhishek Lodha, MD & CEO, said “Q1FY23 was our best ever 1st quarter with INR ~2,814 crores of pre-sales from our India business. With this strong start to the FY, we are pleased that 75% of the sales growth that we had forecasted for this year (INR 1857 cr. out of INR 2500 cr. required to grow from INR 9024 cr. to INR 11,500 cr.) has already been delivered. We are carefully monitoring the impact of inflation and rising interest rates but have not yet seen any impact on housing demand from quality developers. Over the medium & long-term, driven by good wage growth, increase in the relevance of housing to the family after Covid, and consolidation of supply with high-credibility developers, we believe that the housing industry in India is in a structural upcycle.

During the quarter, we continued to see robust reduction in debt with net debt reduced by ~INR 450 crores to ~INR 8858 crores. Further, our London investments continue to track towards repatriation of INR 1500+ crores starting in FY23 which will further strengthen the cash flows of the Indian business.

We continue to see good momentum across all segments, with the affordable & mid-income segments being particularly strong. We believe that significant growth will come from these segments in the next few years as per capita income grows in India and households which have hitherto being unable to afford housing start becoming ‘housing-capable’.

During the quarter we have signed up three JDA projects for 5.1 million square feet area with a GDV of INR 6,200 crores. On the back of strong attractiveness of our brand to land owners and therefore, a robust pipeline of JDAs, we expect to add new projects with a combined GDV of INR ~15,000 crores in FY23.

During this quarter, we have also taken two new initiatives – first the entry into the Bengaluru market which now enables Lodha to covering 2/3rd (by value) of the housing demand in the top 7 Indian cities, and secondly our platform with Bain Capital and Ivanhoe Cambridge to create high quality green digital infrastructure (logistics and industrial parks) across India. We expect both of these to contribute to growth from FY24.

As a company which focusses on ‘do good, do well’, we published our first integrated annual report in June 22 and continue to make good progress towards becoming ‘net zero carbon’ by 2035. With the recent joining of Shri Rajeev Bakshi as Independent Director on our Board, we hope to expedite our journey to become the global leader in ESG in the real estate industry.”

Also Read: How can NRIs positively impact the growth rate of the Indian real estate market?

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By Varun Singh

There are many reasons because of which disputes between homebuyers and builders come up and they approach MahaRERA for getting them resolved.

According to MahaRERA itself, during the course of the hearing of the complaints, the various issues of an agreement are arising by way of disputes.

To tackle this, MahaRERA has formed a Committee for giving recommendations on two issues; Model Agreement for Commercial/Residential Units/Plots and Draft for Allotment letter.

Real Estate (Regulation and Development) Act 2016 was enacted to bring greater professionalism, accountability, and competency in
real estate sector.

In accordance with the provisions of Section 13 of RERA, the promoters shall not accept a sum of more than ten percent of the cost of
apartment without entering into an agreement for sale.

MahaRERA in its circular has stated, it is observed that during the course of the hearing of the complaints the various issues of an agreement are arising by way of dispute.

Therefore, MahaRERA stated that it is necessary to consider modifying the Agreement for Sale.

Thus a committee has been constituted to advise and to give recommendations vis-a-vis suggestion in the Draft Agreement for Sale and Draft for Allotment letter.

The committee includes the following members:

Timelines and scope of work of the committee shall be in consultation with MahaRERA. It is expected that the committee would submit its report in 30 days.

Experts have hailed the move saying that this will reduce disputes between builders and homebuyers.

“It is an excellent move to amend the draft of allotment letters and agreements. The authority is looking to amend the Draft Allotment and Agreement letters. Many developers prepare additional “Booking forms” and “terms and Conditions of Allotment” to impose additional terms not provided in the Authority prescribed provisions. The same must be curtailed while issuing new model drafts and instructions. Additionally, to reduce several Section 13 violations already committed by developers, it has been observed in most cases that large monies are paid by purchasers and developers do not comply with Section 13, allotment letters are issued but the Agreements are not registered. The Authority must consider having developers make such declarations online, and/or rectify the same in a time-bound manner, to substantially reduce Section 13 violations,” said Prakkash Rohira – Advocate, Bombay High Court.

“It is a great proactive step taken by MahaRERA. Based on their observations and experts’ advice; now they can modify the Model Form of Agreement so that in futures fewer issues related to Agreement will arise between the developers and property buyers,” said Sunil Kewalramani, Advocate, Bombay High Court.

Also Read: Builder Takes MHADA To MahaRERA, Gets No Relief

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By Varun Singh

From Monday serious restrictions have been imposed by the Maharashtra governmennt to tackle the growing COVID 19 positive numbers.

With Weekend Lockdown in place and even during day not more than 5 people together being allowed. There are some do’s and don’t’s for the construction industry too.

Construction activity to be allowed only for sites where labourers are living on site.

Movement to and for from outside must be avoided except for the puprose of material movements.

Everyone engaged in the activity to get vaccinated at the earliest as per criteria of Government of India.

Till they get vaccinated, must carry a negative RTPCR test result certificate which will bbe valid for 15 days, (This rule will come into effect from April 10, 2021).

Defaults will lead to a fine of Rs 10,000 for the developer of the construction site and rpeated defaults may lead to closure of the site till existence of notificationn of COVID 19 epidemic.

If a construction worker is found psotiive he or she would be allowed medical leave and cannot be discontinued during this absence for this reason.

The construction worker shall be entitled for full wages that he or she might have earned had he or she not contacted Corona.

This means at sites where the developer has made arranngement for the construction workers only those project shall be functional.

According to many developer most construction workers are still in Mumbai.

Ashok Mohanani, President, NAREDCO Maharashtra when asked, whether workers are movinng out? He said, “No migrant workers are very much at work.”

His feelings were echoed by Rajesh Prajapati of CREDAI MCHI. Prajapati when asked whether migrant workers are again going back, he said, “No, not yet, some workers had gone for Holi, this an annual phenomenon and nothing to do with Corona. We expect few to fo in April and May for season of marriages.”

However, Anand Gupta, Spokesperson for Builder Association of India had a bit different view to the question of whether construction workers were returning back.

Gupta said, “Partially yes, actually they are under fear, that again there can be lockdown and they will be without work and pay. They can again get trapped. They are also under their family pressure.”

Also Read: During Day More Than 5 People Together Not Allowed

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By Varun Singh

There are many cases, where a builder oversells, at times they even sell flats for which they do not even have approvals.

A similar case knocked the doors of MahaRERA, where the authority held the builder being involved in a kind of unfair practice.

Rashiquah Ahmad approached MahaRERA against the developer Cordcon Builders Pvt Ltd.

Ahmad had booked an apartment in the building Indian Ocean located at Andheri, Mumbai.

The booking was carried out via a Letter of Allotment dated October 22, 2015 and Memorandum of Understanding (MoU) executed on October 27, 2015.

The homebuyer alleged that the builder illegally sold them an apartment on 17^th floor by making false representation that approval would be obtained.

Further, they stated that in spite of having paid 81% of the amount, the builder failed to  obtain approval and enter into an agreement for sale.

Homebuyer alleged that the developer has permission to construct only up to 15 floors as per the MCGM approvals and has not been able to acquire further approvals till date.

The buyer asked that the developer be directed to refund the amounts paid along with interest and payment of arrears of compensation towards rent at promised rate from November 2018 till the date of refund.

Builder submitted the he does not have the requisite approvals for the 17^th floor and has been paying compensatory rent to the homebuyer.

Developer was also willing to adhere to the MoU executed between the parties.  

The developer was willing to offer an alternate apartment to the homebuyer. But the counsel for the homebuyer stated that the alternate apartment offered was not to the liking of the homebuyer.

Counsel for the homebuyer also informed that by a letter dated February 1, 2019 the builder had given the option to the homebuyer to mutually end the transaction of sale of the apartment, in case the developer fails to provide possession of the apartment before the period ending December, 2019.

Gautam Chaterjee, Chairman, MahaRERA held that, the registered project is till up to 16 slabs of super structure and the homebuyer’s apartment is not part of the registered project.

Hence, strictly speaking,  the homebuyer is not an allottee in the registered project

Gautam Chaterjee, Chairman, MahaRERA

Chaterjee in his order dated September 30, 2020, noted, “though the Complainant’s apartment is not registered with MahaRERA, the act of the developer to take money from the Complainant for a proposed apartment and issue him an allotment letter, with an MoU in the registered project, amounts to the promoter being involved in a kind of “unfair practice” by promoting sale by adopting  unfair method like representing that the promoter has approval which he does not  have.”

Thus the builder was directed to refund the amounts paid by the homebuyer as per the terms agreed between the parties in the MoU and the builder’s email dated February 1, 2019.  

Also Read: Coworking Spaces In Residential Projects?

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By Varun Singh

Normally we hear that a builder is asked to pay interest for delayed possession to a buyer

Recently a homebuyer was ordered by the Maharashtra Real Estate Regulatory Authority (MahaRERA) to pay interest to a developer. This was for delay in payment by the buyer to the developer.

The developer SMP Namrata Associates had approached MahaRERA against a homebuyer.

The developer informed that via a registered agreement on August 29, 2019, he sold a flat to the homebuyer for Rs 50.34 lakh.

Flat sold was in the project Life 360 Phase 1, in Pune, for which the homebuyer had paid Rs 1 lakh to the developer.

Builder also alleged that he sent several demand letters between August to December 2019 seeking balance payment from homebuyer.

The homebuyer then in January 2020 sent a legal notice to the builder for non allotment of car parking space.

The developer stated to MahaRERA, that as he had faced a lot of hardship and on account of non payment from homebuyer the agreement should be cancelled. The developer also asked to forfeit the amount paid by the buyer.

Developer also informed MahaRERA that he was willing to go ahead with the agreement if the buyer was willing to make the payments along with interest.

On the other hand the allottee stated that she was ready to pay the amount as per agreement as her loan got sanctioned in December 2019.

She informed the authority that the developer hasn’t given her parking and also increased the GST amount from 5% to 7%. Hence she couldn’t pay the dues to the builder.

The buyer further stated that she is still ready and willing to pay the outstanding dues but the direction be issued to the complainant (builder) to waive off the interest amount raised by the builder.

MahaRERA member 1, Dr Vijay Satbir Singh opined that that the buyer being an allottee is liable to make payments in accordance with the terms and condition of the sale agreement.

Failing which the promoter is entitled to terminate the agreement for sale as per the provision of section 11 (5) of the RERA.

In this case, the buyer showed her willingness to make the payment. Hence, MahaRERA directed buyer to make necessary payment to the builder within a period of one month. Failing which the builder would be entitled to terminate the agreement for sale.

Further Singh in his order stated, “MahaRERA is of the view that in case of any default on the part of allottee or the promoter, either party would be entitled to seek interest for such a default as prescribed under section 18 of the RERA.”

“Accordingly, if the respondent (buyer) has made any default in timely payment as per the agreement for sale, she would be liable to pay interest for the delayed payment at the rate of Marginal Cost Lending Rate (MCLR) of SBI plus 2% as prescribed under RERA,” the order stated, disposing the complaint.

Also Read: MahaRERA Disposes 70% Of All Complaints Received

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By Varun Singh

On Thursday, portion of Mishra Mansion came crashing down killing two and injuring one in South Mumbai’s Shuklaji street.

According to Chief Officer of Mumbai Repair and Reconstruction Board, Arun Dongare, the developer was issued a show cause notice as recent as October 2019 for delay in redevelopment of the building.

No Objection Certificate to carry out redevelopment in 2017 was issued to Sirsiwala builders said MHADA officer, Arun Borase.

The redevelopment according to Arun Borase comprised of two building, Mishra Mansion and the adjacent building Abdul Rehman building. Both the building comprised of 111 tenants as on date of the NOC.

Local MLA, Amin Patel, who visited the spot, says that even he had written to MHADA to revoke the NOC granted to developer as he had failed to start the redevelopment.

Dongare says that some repair work was being carried out by the developer in the building on Thursday.

Patel says that the toilet potion of the building collapsed on the home of an adjacent chawl thus killing two and injuring one.

There are close to 14,000 cessed dilapidated buildings in South Mumbai they need an urgent redevelopment.

Earlier this month, the state government’s cabinet under CM Uddhav Thackeray passed a decision to amend the MHADA act. 

This amendment will allow MHADA to take over those projects which are stuck or couldn’t start.

MHADA has been assigned the responsibility that it will complete these projects within three years of the date of Commencement Certificate.

Meanwhile, the fresh demand that has cropped up is that an ordinance be passed and all those building where redevelopment is stuck be taken over by MHADA. Patel says the government should pass an ordinance and act fast and allow MHADA to take over stuck projects and complete them.

Meanwhile, Patel also says that the tenants of the building were upset with the developer and are going ahead with available legal recourse against him.

Only in July a building in Mumbai’s Fort area collapsed killing 10 residents.

Also Read: Mumbai city’s14,500 dilapidated buildings get relief

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