A state-appointed committee led by BJP MLC Pravin Darekar has submitted a detailed set of recommendations to Deputy Chief Minister Devendra Fadnavis, aiming to accelerate self-redevelopment and cluster redevelopment of cooperative housing societies across Maharashtra. The proposals, if approved, could transform the urban redevelopment landscape, particularly in Mumbai, where ageing buildings and space constraints pose significant challenges.
Incentivising Self-Redevelopment
One of the key proposals is the provision of 10% additional carpet area for housing societies opting for self-redevelopment. This move is intended to encourage residents to take charge of rebuilding their homes, offering them greater space and long-term ownership benefits.
Cluster Redevelopment Made Accessible
The committee has also recommended lowering the threshold for cluster redevelopment projects from 4,000 sq m to 2,000 sq m. This change makes it easier for smaller societies to collectively participate in redevelopment. Each resident in such projects would be assured a minimum of 376.73 sq ft of living space.
Inclusive Development Measures
The recommendations extend benefits to non-residential occupiers and slum dwellers as well. Commercial units will retain their original carpet area post-redevelopment, while households in slum areas will be provided with 300 sq ft units.
The proposal also broadens the applicability of redevelopment schemes to include MHADA buildings, BPT and BARC lands, cessed and non-cessed buildings, private plots, and even slum areas—ensuring more comprehensive coverage across property types.
Financial Support and Simplification
To facilitate smoother financing, the panel suggests enabling mortgaging of land and sale components through district cooperative banks under the apex cooperative bank. It also recommends seeking funding from institutions such as NABARD and HUDCO.
Additional suggestions include:
- Creation of a dedicated Slum Self-Redevelopment Authority
- Integration of projects with PM Awaas Yojana
- Provision of land ownership rights for slum residents
- Introduction of a single-window clearance system to streamline approvals
- Tax and levy concessions, including on TDR, GST, and loan interest
- Eligibility for redevelopment of buildings older than 30 years
Metro-3 Impact and Urban Livability
Buildings affected by the Mumbai Metro Line 3 construction will be declared "project-affected", allowing them to be included in redevelopment under the upcoming DCPR-2034 framework.
Deputy Chief Minister Eknath Shinde acknowledged the positive outcomes of self-redevelopment, noting that many Mumbai residents have been able to secure larger homes, ranging from 1,200 to 1,600 sq ft, through this route—providing much-needed room for multigenerational families.
Next Steps
The report was formally submitted on July 14, 2025, and is currently under ministerial review. Following approval by the cabinet, the Housing, Co-operative, and Urban Development departments will be responsible for implementing the proposals.
If adopted, the measures could significantly revive stalled and ageing housing stock, promote resident-driven development, and enhance urban living standards across Maharashtra.