As old buildings and many eligible structures in the MMR await redevelopment, there is a pressing need to create adequate housing stock, for which redevelopment is a compliant solution that can be enhanced by exploring public-private partnerships, stated Dr Bhushan Gagrani, Commissioner of the Brihan Mumbai Municipal Corporation. He made these remarks during the panel discussion "Society Redevelopment under Various Sections," organised by NAREDCO Maharashtra on the third day of HOMETHON Property Expo 2024 at the Jio World Convention Centre in Mumbai.

Addressing the demand from the real estate industry for reduced premiums on redevelopment, Dr Gagrani noted that various redevelopment avenues could be structured effectively with proper feasibility assessments. He also stressed the importance of incentivizing redevelopment to tackle various challenges affecting the process, while cautioning that incentives must align with feasibility. He emphasised that for a redevelopment project to move forward, it is essential to ensure its financial viability and to foster awareness among society members about the redevelopment process.

On the BMC's vision to align infrastructure with the rapid pace of redevelopment, Dr Gagrani highlighted potential challenges. "Mumbai's infrastructure may face difficulties as the city undergoes redevelopment. While we have plans in place for surface infrastructure like urban mobility, parking, and road quality, subsurface issues, such as sewage and water supply, could become problematic, particularly as per capita water demand increases."

The Commissioner pointed out that Section 33(7A), which applies to the redevelopment of dilapidated, unsafe, authorised tenant-occupied buildings in the suburbs, has been positively received by private societies, with competitive bidding from developers.

Shri Gautam Chatterjee, Former Founding Chairman of Maha RERA, emphasised the necessity of incentivizing redevelopment but highlighted the need for a balanced approach. He mentioned, " "When about 8000 projects are stuck in Mumbai due to timeline issues, there is a need to disseminate knowledge and information to educate the society members and other stakeholders about the processes of redevelopment to be followed and acquaint them with various Acts, Regulations, RERA guidelines, Court orders, etc that are necessary to understand. For disseminating such information transparently and seamlessly, we need a web portal; so that all information is displayed to resolve problems and see that projects are monitored". He added, "We need e-monitoring methods and an Alternate Dispute Resolution' for stalled projects. Also, we need a 'Self-Regulated Organization (SRO) platform like a Section 8 Company for self-regulation"

Meanwhile, NAREDCO Maharashtra has collaborated with former MahaRERA Chief Shri Gautam Chatterjee to launch the 'Grihamony Redevelopment Stakeholders Federations (GRSF)' to raise awareness in redevelopment.

Dr. Niranjan Hiranandani, Chairman of NAREDCO and Co-founder of the Hiranandani Group, advocated for reducing premiums on redevelopment. He stated, "The challenge is to match the pace of redevelopment. Reduction of premium would create more affordable housing in the city and hence, at least 50% reduction in premium is necessary. Redevelopment should provide aspirations for a better quality of life".

Mr. Rajan Bandelkar, Vice Chairman of NAREDCO and Director of Raunak Group, emphasised the importance of balancing viability for the private sector in redevelopment projects. He urged the government to incentivize societies that pursue self-redevelopment and utilize less Floor Space Index (FSI). "For those using lesser FSI, there should be no premium, especially considering the challenges posed by climate change and issues surrounding redevelopment," he said.

Regarding the need for a conciliation mechanism in redevelopment, Mr. Hitesh Thakkar, Vice President of NAREDCO Maharashtra and Partner at Prem Group, suggested establishing a framework for dispute resolution to facilitate amicable redressal, as project delays often lead to high litigation costs.

In conclusion, the discussions at HOMETHON Property Expo 2024 underscored the critical role of redevelopment in addressing housing shortages in Mumbai. By fostering collaboration and enhancing awareness, stakeholders can navigate the challenges ahead, ultimately creating a sustainable urban environment that meets the needs of its residents while encouraging innovative solutions in real estate development.