In Mumbai, a majority of residential properties are situated on land owned by Co-operative Housing Societies (CHS). These societies are managed democratically by their elected Managing Committee, which operates under the guidance and control of the General Body—comprising all society members. The overall functioning, compliance, and legal structure of CHS are monitored and regulated by the Registrar of Co-operative Housing Societies, a statutory authority appointed by the Government of Maharashtra.
Definition and Purpose of Redevelopment:
Redevelopment refers to the process of reconstructing aging or dilapidated buildings by demolishing the existing structures and constructing new buildings in their place. This is done by utilizing the currently available Floor Space Index (FSI), which is often more generous than the FSI used during the time the original buildings were constructed.
As most buildings in Mumbai are over 30-40 years old, they often suffer from:
Structural deterioration
Lack of modern safety measures (like fire-fighting systems or seismic resistance)
Absence of basic amenities such as elevators, parking, or proper ventilation
Redevelopment aims to address these issues by providing safe, spacious, and upgraded living spaces to the existing members while simultaneously unlocking the potential of underutilized land.
How the Process Works:
The existing building is first evaluated for structural stability and redevelopment potential.
Once approved, the members are temporarily relocated to rental homes or transit accommodations, usually at the cost of the Developer.
The old structure is demolished, and new buildings are constructed using enhanced FSI/TDR provisions.
After completion, the original members are reallocated flats in the new building—often larger in size and equipped with modern facilities.
The additional built-up area (arising from the difference between old and new FSI) is sold by the Developer in the open market to recover costs and earn profit.
Key Aspects of Redevelopment:
Legal Framework: The process must comply with the Maharashtra Co-operative Societies Act, 1960, and related Government Resolutions (GRs) like the GR dated 04/07/2019.
Transparency: Members’ consent, proper documentation, and adherence to timelines are critical for successful execution.
Financial Model: Since CHS usually lacks the financial strength to undertake redevelopment, an experienced Developer is appointed to carry out the work on a turnkey basis.
Member Benefits: Larger flats, better infrastructure, corpus funds, rent for temporary accommodation, parking, elevators, security systems, and a modern lifestyle.
Why Redevelopment is Crucial in Mumbai:
Land scarcity and high population density make vertical redevelopment a practical solution.
Aging buildings pose safety risks and fail to meet modern living standards.
It revitalizes old neighborhoods, improves urban infrastructure, and boosts property value for residents.
