CM Devendra Fadnavis and MahaRERA Chairman Gautam Chaterjee at the Loksatta conclave on Monday. Dilip Kagda
Chief Minister Devendra Fadnavis announced Monday the government would intervene in rationalising the ready reckoner rates to check the superficial hike in property prices in cities like Mumbai and Pune. The government would amend the existing Act to check the steep hike in ready reckoner rates, he said.
Fadnavis said the government would bring a new comprehensive policy to make housing affordable for one and all across Maharashtra.
To facilitate redevelopment of old dilapidated buildings, the chief minister said, “If 51 per cent of the residents give consent for its redevelopment, it would be held valid. This will pave the way for evacuating the remaining 49 per cent residents and begin with redevelopment of the old structures.” Earlier, redevelopment projects mandated consent of
70 per cent residents.
Fadnavis said Mumbai’s Development Plan (DP) would be unveiled and executed within a year. He said the draft plan was being studied for holistic development of the city and its people.
The CM was speaking at the Real Estate Conclave organised by Marathi newspaper Loksatta of The Indian Express Group in Mumbai. The topic of discussion was ‘Maharashtra Real Estate Regulatory Authority (MahaRERA) and Real Estate’.
Conceding that affordable housing had always been a topic of debate, Fadnavis said, “In cities like Mumbai and Pune, the increased ready reckoner rates and higher stamp duties often lead to steep escalation in prices of houses. The municipal corporations’ increased premium coupled with Goods and Services Tax often lead to cumulative hike in the overall property prices making housing unaffordable at times.”
Acknowledging the need for affordable housing, he added, “At present, the Act does not allow governments to intervene in determining the ready reckoner rates for houses/properties. As a result, it has its limitations. The government will bring amendments to the Act.”
Fadnavis said there were complaints that premium/tax within the Mumbai corporation limits often led to higher costs, with developers passing the financial burden on the buyers.
“All these details and hidden costs which often have to be borne by the buyers are being meticulously studied and would be addressed in the new policies, which would be ready within next three months,” he assured.
Referring to the recent building collapse in Bhendi Bazaar, Fadnavis said, “The safety of residents cannot be compromised at any cost and the government is taking concrete measures to facilitate less cumbersome measures for redevelopment of such structures in a time-bound manner.”
The chief minister also spoke on how enforcement of RERA would help in curtailing rampant violations and corruption by developers and brokers in the real estate sector.
MahaRERA Chairman Gautam Chaterjee made the preliminary remarks on the regulator and its impact in the housing sector. Representatives from various real estate organisations, such as CREDAI, MCHI , and the National Real Estate Development Council, attended the conclave.
