Redevelopment of cessed buildings to be expedited

Proposal was cleared in State Cabinet on Wednesday

August 12, 2020 11:45 pm | Updated 11:45 pm IST - Mumbai

The State Cabinet on Wednesday cleared the proposal to speed up the redevelopment of cessed buildings within Mumbai city through Maharashtra Housing and Area Development Authority (MHADA).

The redevelopment projects that are being delayed or not undertaken, if undertaken by MHADA, will have to be completed within three years since taking the commencement certificate. The Cabinet decision is likely to benefit at least 14,500 cessed buildings.

Cessed buildings are those for which the government collects tax for a repair fund. These buildings were mainly built before Independence, and the concept is limited to the island city and not the suburbs. “A number of redevelopment projects of cessed buildings have been delayed for various reasons,” said an official from the Housing Department. It has been delayed, stopped or left half-way by developers. The issues include non-payment of rents of tenants, or rules and conditions within the no-objection certificate being violated. However, no action has been taken despite notice from the civic body.

The government has now made arrangements to set up a high-power committee to resolve disputes between the owner/developer and MHADA under the chairmanship of Principle Secretary (Housing). The State government had formed an eight-MLA committee to suggest measures to speed up the redevelopment of dangerous and dilapidated cessed buildings. “Those too shall be considered while tabling the Bill in the Legislature,” the official said.

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