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The Maharashtra government has enacted the Maharashtra Land Revenue Code (Second Amendment) Act, 2026, introducing amendments to Section 37A of the Maharashtra Land Revenue Code, 1966. The legislation clarifies approval requirements for transactions involving government land and validates certain approvals granted before the enactment of the 2012 amendment. The move is aimed at removing legal ambiguities surrounding land transfers, redevelopment projects, utilisation of additional FSI, TDR transactions and changes in land use where government approvals had been issued under earlier administrative frameworks.
The Maharashtra government has notified the Maharashtra Land Revenue Code (Second Amendment) Act, 2026, introducing changes to Section 37A of the Maharashtra Land Revenue Code, 1966, in a move aimed at providing legal clarity to transactions involving government-owned land.
The amendment, published in the Maharashtra Government Gazette after receiving the Governor’s assent on April 15, 2026, modifies provisions relating to approvals required for the transfer and utilisation of government land.
One of the key changes introduced by the legislation is the replacement of the term “taking the prior permission” with the word “approval” in Section 37A. The amendment also substitutes the word “permission” with “approval” in another subsection of the provision, aligning the terminology used within the law.
More significantly, the amendment inserts a new proviso addressing transactions that received government approval before the Maharashtra Land Revenue Code (Second Amendment) Act, 2012 came into force.
Under the newly inserted provision, approvals granted by the government through resolutions, general orders or special orders for the sale, transfer, redevelopment or change of use of government land will be deemed valid, provided the prescribed premium, nazrana, charges and share of unearned income had been paid before commencement of the 2012 amendment.
The validation provision also extends to transactions involving additional Floor Space Index (FSI) and Transferable Development Rights (TDR) on government land. By recognising such approvals as valid under the Code, the amendment seeks to address uncertainty surrounding projects and land transactions that were approved under earlier administrative mechanisms.
Industry observers believe the amendment could provide legal certainty for several redevelopment and land-use change proposals where approvals had been granted by the state government before the 2012 legislative changes but where questions remained regarding their status under the revised legal framework.
The amendment is expected to have particular relevance for urban redevelopment projects, government land leases and transactions involving development rights, especially in Mumbai and other major cities where government-owned land forms a significant component of redevelopment activity.
With the enactment of the Maharashtra Land Revenue Code (Second Amendment) Act, 2026, the state has sought to regularise historical approvals and provide a clearer legal framework for government land transactions that were sanctioned under previous policy and administrative regimes.
Source: Gazette of Maharashtra
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