Mumbai Local

Leased land can be owned now, State cabinet decides

The state cabinet on Wednesday cleared a proposal to enable ownership of leased government land by the user.

As per the amendment sanctioned under the Maharashtra State Land Revenue Code, 1966, around 1.04 lakh land parcels all over the state can now undergo change in ownership from that of government land to that of private users.

The state government will be coming up with an Act in the upcoming budget session which will decide the terms and conditions of possible transactions.

Revenue Minister Eknath Khadse on Wednesday said that land leased out for hospitals, playground, educational institutes and gymnasiums will not be included in the Act.

However, the amendment may also mean that land given on lease to co-operative sugar factories, industries can now become private property.

As per the revenue code, government land is given out under two categories — one, where land is held by occupants in perpetuity and without any restrictions on the right to transfer, and the second where the occupant has a restriction on ‘use of land’ and cannot transfer it without the government’s permission. In some cases, the lease period needs to be extended before the lease expires.

The government’s amendment, in layman’s terms, means that land from the second category can now easily be transferred to the first, giving the occupant complete ownership.

“This is in favour of the users. At a time when we are talking about increasing investment in industrial sector, we need to amend laws in business friendly manner. Now people do not need to visit government offices to renew lease agreement. They can own it now,” said Manu Kumar Srivastava, Principle Secretary, Revenue Department.

While the amendment was pending with the government for the last many years, a number of suggestions including bringing lease rates closer to market rates instead of transferring ownership were also pending with the government.

The state has clarified that details such as transfer fee, terms and conditions and process will be finalised in the act that will come up in the budget session.

Land held by the occupants can now be moved

to full ownership category

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Printable version | Oct 12, 2021 9:23:39 AM |

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