Mumbai cluster redevelopment update

The much-delayed cluster re-development proposal will now be finalised after Diwali. Four months after the draft policy was introduced, public hearing on the proposal was completed recently. An overwhelming 400 suggestions and objections have been filed so far.
The draft notification for the cluster re-development approach was issued by the state urban development department in June this year. The date for finalising the proposal had to be extended because a large number of tenants, developers and various other groups wanted to give their opinion on the proposal.Under the scheme, a cluster of buildings spread over a minimum area of 4000 sq meter will be granted a Floor Space Index (FSI) of 4 or FSI required for rehabilitation of existing tenants plus incentive, whichever is higher. The incentive FSI, the saleable component of the project, would be in the range of 50% to 75% of the rehabilitation FSI.
The deputy director of town planning who conducted the hearings, will submit report to the urban development department next month. “More than 50% of those who wrote in to us were present during the hearings. All these opinions have been recorded. The Maharashtra Housing and Area Development Authority (MHADA) too will be sending its suggestions separately,” said an official from the Urban Development department.MHADA will receive 5% of the total built up area free of cost every time the Floor Space Index (FSI) for rehabilitating the existing residents/ tenants exceeds 2.50. “We are hoping to finalise the rule next month after taking all the opinions into account,” the official added. UD officials state that once the scheme comes into force, the state government will also be able to select one of the nine developers who have shown interest in being a part of the pilot cluster redevelopment project in the island city.