Maharashtra government to help builders in developing SRA projects
The state government will soon roll out a ‘lien’ scheme in a bid to bail out cash-strapped builders whose Slum Rehabilitation Authority (SRA) projects are stuck due to lack of funds. Under the scheme, builders who don’t have money to pay premiums and development charges can lien flats from their sale components and move ahead with construction. Once the buildings are ready, the builders can sell the flats and pay their dues. If they fail to do so, then the SRA will auction the flats and recover the dues. The plan was floated at a meeting headed by Chief Minister Uddhav Thackeray on Monday, when he reviewed the functioning of the Housing Department. Housing Minister Jitendra Awhad and SRA chief executive Deepak Kapoor were present at the meeting. “The CM has agreed to the plan in principle, but finer details will have to be worked out. At the moment, developers are facing a liquidity crunch,” an official said. “So many of them have started SRA projects but don’t have enough money to finish them. Several approvals have been held back since they haven’t been able to pay development charges and premiums. Under this scheme, they don’t have to pay much money upfront but can pledge their flats. They can repay later once they get money from buyers.” According to officials, builders have to pay premium based on ready reckoner rates for fungible floor space index and lack of open spaces.
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