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The Essential Guide to Redevelopment of Housing Societies

Redevelopment of housing societies is an essential and transformative process, especially in bustling cities like Mumbai. As buildings age and urban landscapes evolve, redeveloping old structures becomes crucial for improving living conditions, maximizing space utilization, and enhancing property values. Many housing societies, especially those built decades ago, need redevelopment.

If you’re part of a housing society considering redevelopment, this guide will walk you through the benefits, processes, and key stages involved. And when it comes to executing this complex task, Arkade stands out as a trusted partner, ensuring a smooth and rewarding redevelopment journey.

Benefits of Society Redevelopment in Mumbai

Redevelopment of societies offers numerous advantages, particularly in a metropolitan hub like Mumbai:

  • Enhanced Living Standards: Modern amenities like fire safety systems, elevators, proper ventilation, and earthquake resistance become a reality.
  • Increased space: Residents typically receive a larger carpet area in the new building, translating to more living space.
  • Increased Property Value: A redeveloped society commands a significantly higher market value, benefiting future generations.
  • Better Utilization of Space: Optimized layouts provide more usable space and better design.
  • Safety and Compliance: New buildings meet contemporary safety standards and regulations, ensuring a secure living environment.
  • Sustainable Living: Incorporating eco-friendly technologies and materials reduces environmental impact.

New Rules for Redevelopment of Societies

The redevelopment of housing societies in Mumbai is governed by specific regulations to ensure fair practices, and safety, to streamline the redevelopment process

  • Minimum consent: The minimum consent required from society members for redevelopment has been reduced to 66%.
  • Transparent Bidding: Society redevelopment tenders in Mumbai should be transparent to ensure a fair selection of builders.
  • Regulatory Approvals: Necessary approvals from municipal authorities and adherence to building codes are mandatory.
  • Faster approvals: Streamlined procedures aim to expedite approvals and minimize project delays.
  • Member Protection: Rules ensure that the rights and interests of all society members are safeguarded during the redevelopment process.

These changes are positive developments for housing societies considering redevelopment in Mumbai.

Understanding the Redevelopment Process

The redevelopment process of a housing society involves several steps and thorough planning:

  • Gain member approval: Hold a Special General Body Meeting and secure a majority vote in favor of redevelopment.
  • Engage professional guidance: Hire legal and project management consultants to assist society members throughout the process.
  • Prepare tender documents: Finalize the draft tender and feasibility reports prepared by the consultant.
  • Invite developer bids: Publicly announce the redevelopment project and invite developers to submit bids following the tender guidelines.
  • Shortlist qualified developers: The consultant will evaluate proposals based on factors like financial strength, experience, and past performance. Shortlisted developers will be invited for a site visit and presentation.
  • Finalize developer selection: Developers submit final offers, and the society chooses the best option in the presence of a designated officer.
  • Secure legal agreements: Both parties finalize the Development Agreement, Power of Attorney, and plans. These require approval at a Special General Body Meeting before submission for registration and official approvals.
  • Vacate and allocate flats: Upon receiving approvals, the developer issues a vacating notice. The society allocates new flats to existing members, and the developer registers the Permanent Accommodation Agreement.
  • Construction and handover: The developer commences construction after obtaining possession of the society land. Once the Occupation Certificate is issued, the society is informed to take possession of their new flats.

Key Stages of Society Redevelopment

  1. Feasibility study: This stage involves assessing the building’s condition, potential floor space index (FSI), and legal aspects.
  2. Planning and Approvals: Detailed planning, design approvals, and compliance with regulatory requirements. Working on obtaining approvals from MCGM and other authorities may take time, but it’s important to stay patient and ensure compliance with regulations for a smooth process.
  3. Temporary Relocation: Arranging alternate accommodation for residents during the construction phase.
  4. Demolition and Construction: Safe demolition of old structures and construction of new buildings.
  5. Handover: Completing the construction, obtaining occupancy certificates, and handing over the new homes to residents.

Builder vs. Self-Redevelopment

Choosing between hiring a builder and opting for self-redevelopment is a critical decision:

Builder Redevelopment: The society appoints a developer who handles the entire process in exchange for a share of the additional built-up space. Professional builders bring expertise, financial backing, and a streamlined process. Arkade Group, for instance, offers comprehensive services ensuring a hassle-free experience.

Self-Redevelopment: The society takes charge of the project, appointing professionals like architects and contractors. While potentially more cost-effective, it requires significant effort, expertise, and financial risk management from the society members.

Redevelopment Checklist for Housing Societies in Mumbai

  • Conduct a Feasibility Study
  • Obtain Member’s Consent
  • Choose a Reputable Builder
  • Understand and navigate the approval process
  • Secure Financial Backing
  • Ensure Legal Compliance
  • Plan for Temporary Relocation
  • Monitor Construction Progress
  • Ensure Quality Assurance
  • Maintain clear and transparent communication with society members

What sets Arkade apart!

At Arkade, we are committed to establishing a personalized connection with all stakeholders involved in the redevelopment process. From initial consultations to final handover, we ensure clear communication, transparency, and a collaborative approach. Our dedicated team understands and addresses the unique needs of each housing society, providing tailored solutions that align with their vision.

Financial Stability

When you partner with Arkade, you gain access to our unparalleled financial stability. Our substantial financial backing and expertise guarantee a redevelopment process that is not only seamless but also financially secure. With our robust financial strength, we efficiently manage large-scale projects and consistently deliver on our promises without any compromises on quality and without delays.

Redevelopment of housing societies is a crucial step towards enhancing living conditions, ensuring safety, and increasing property values, particularly in a dynamic city like Mumbai. By understanding the benefits, staying informed about the rules, and following a structured redevelopment process, housing societies can navigate this complex journey effectively. 

Choosing Arkade for the redevelopment of your housing society ensures a smooth, reliable, and rewarding experience.

Think Redevelopment, Think Arkade!

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