Tamil Nadu introduces new framework for redevelopment of 30-year-old buildings

Synopsis

The Housing And Urban Development Department in Tamil Nadu has introduced a framework to facilitate the redevelopment of 30-year-old buildings, reinforcing the Tamil Nadu Apartment Ownership Act. Under the new rules, apartment owners must establish associations, pass resolutions, and secure written consent from at least two-thirds of owners for redevelopment. If a building is deemed unsafe, a detailed redevelopment report must be prepared. S. Ramprabhu from the Builders Association of India highlighted that these guidelines are essential for effective association management and called for the creation of an online application system to streamline the redevelopment process statewide.

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A framework for the redevelopment of 30-year-old buildings, which had been delayed due to resistance from a small group of residents, has been established with new rules introduced by the Housing And Urban Development Department on 24 September. These rules strengthen the Tamil Nadu Apartment Ownership Act, effective since 6 March. According to the new regulations, apartment owners must form an association, create bylaws, and register it, requiring at least four owners to participate. Each association will have a board of managers, and when multiple towers are present on a property, the associations can create a federation, with the president and treasurer of each association serving as members.

A housing and urban development official stated that a resolution is essential for redevelopment. The board of managers, either on its own initiative or upon request from one-fourth of the apartment owners, must arrange a special general meeting. Following the resolution passed, the association, with the written consent of at least two-thirds of the apartment owners in the project, will inform the chief planner or the local planning authority about the decision to redevelop the project. The official also noted that the association is required to notify all apartment owners in writing within ten days of submitting the decision. If any apartment owner is unhappy with how consent for redevelopment was obtained, they may file an objection with the relevant authority within 30 days.

The official explained that if the authority is not satisfied with how consent for redevelopment was obtained, it will issue necessary directions to the association. If due process has been followed, any objections will be dismissed. However, if the appropriate authority certifies that the building is in a disastrous condition or poses a danger to the occupants or others, the association must arrange a meeting and pass a resolution to engage a promoter or consultant to prepare a detailed redevelopment report, which will then be submitted to the association for approval.

The report must encompass several details, including carpet area, options for alternative accommodation or rent payments, security deposits, vacant areas, gardens, parking, building specifications, common areas, recreational facilities, and amenities to be offered to apartment owners. Additionally, it should outline the necessary approvals and permissions from all statutory bodies, a timeline for the completion of the redevelopment project, and any other relevant information.

The association is required to obtain written consent from at least two-thirds of the apartment owners and enter into an agreement with the promoter, submitting the redevelopment scheme to the authority within 30 days of execution. S. Ramprabhu, chairman of the CMDA and DTCP committee and a representative of the Builders Association of India (BAI), stated that these guidelines are valuable for understanding how to effectively manage an association. He noted that redevelopment is a widespread issue across the state and highlighted that the new rules provide clear directions for its implementation. Additionally, he mentioned that authorities are expected to establish an online system for submitting applications.

In conclusion, the newly established framework for redeveloping ageing buildings in Tamil Nadu aims to address the challenges of resident resistance while ensuring a structured approach to redevelopment. By mandating the formation of associations and requiring significant consent from apartment owners, the rules promote transparency and collaboration among stakeholders. The importance of detailed redevelopment reports and compliance with statutory requirements underscores the commitment to safety and quality. As these regulations are implemented, the anticipated online application system will further streamline processes, enhancing efficiency and accessibility for all involved in redevelopment projects across the state.

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