“We have already received several proposals from developers for redevelopment of cessed buildings. Some of these could be considered under the cluster approach once the government finalises the draft policy,” said Tanaji Satre, chief officer of the MHADA’s repair and reconstruction board. Satre added that the government will take a call on what is to be done with the share that comes to MHADA in the reconstructed buildings.

In addition to the 5% share, in projects of maximum 4 FSI, which are carried out as a joint venture between MHADA/BMC and private developers, the area over and above the rehabilitation and incentive area will be shared between the public authority and the private developer in the ratio 1:0.5. Moreover, the policy states if MHADA or BMC takes up redevelopment on its own, then it doesn’t need to take the mandatory consent of 70% of the tenants.

Earlier this week, the state government had issued a notification for the cluster model which can be used for reconstructing a block of buildings spread over a minimum area of 4,000 sq mtrs. The model is part of the intended purposes of the housing policy which talks about “incentivising redevelopment of old and dilapidated buildings through cluster approach in Urban Renewal Scheme”. According to TC Benjamin, principal secretary for urban development, the cluster model will increase the housing stock in the city while improving the infrastructure.