MHADA’s Plan For Plush Flats in BKC Delayed

The Maharashtra state housing authority, MHADA had proposed to cross-subsidize mass housing by building plush flats in Bandra East and selling them at market price. However, this ambitious plan may get delayed, as the plan is stuck in bureaucratic tangle and gathering dust at the moment.

Plan for plush flats in BKC

Maharashtra Housing and Area Development Authority (MHADA) had planned of constructing two 14-storey twin towers in Bharatnagar in the proximity of Bandra Kurla Complex (BKC) on a plot which currently houses a transit camp. The transit camp was built here in 1989-90 according to Prime Minister’s grant for affordable housing. The transit camp houses about 750 tenants. MHADA plans to give the eligible tenants alternative housing units in its other colonies. It then plans to bring down the transit camp and build 350 plush houses, each of size 970 sq.ft. The average capital value in Bandra East is currently Rs. 23,300 per sq.ft. The rental value per sq.ft is approximately Rs. 80.

MHADA’s idea is to sell the houses at market rates instead of its usual policy of selling houses at a discount to market rate. The goal is to gain the profits of these sales to build better houses for people from economically weaker sections (EWS) and lower-income groups (LIG) in other parts of Mumbai. The plush houses on this plot are intended to be sold to people who work at BKC.

The roadblock

In order to go ahead with the scheme, the housing board has to get the land use changed from ‘commercial’ to ‘residential’. This can be done by the Maharashtra Metropolitan Region Development Authority (MMRDA), the special planning authority of this area. However, MMRDA has not yet authorized the change although the proposal was sent to it nearly two years ago. According to the chief executive of MHADA, the plans as well as the work orders for the residential towers are ready, but the work hasn’t started as the land use change has not been authorized yet. The chief executive of MHADA said that the special planning authority had shown no urgency in this matter.

However, according to MMRDA officials, the process has already been initiated, but owing to the time-consuming process, the approval is getting delayed. As per the process, MMRDA has to approve the proposal first in its authority meeting and send a formal proposal to the urban development department. Then, the urban development department will first issue a preliminary notification inviting objections and suggestions, and then give a final notification. MMRDA also agreed that the proposal was not yet put forth in the authority meeting.

An MMRDA spokesperson said that appropriate action on the proposal will be taken as per rules after verifying it.