The state will now allow medical and educational institutes to lease, rent or sell 20 per cent of their campus area to banks, financial institutions and corporate houses.
This incentive cannot be used to allow malls, multiplexes or department stores. There’s a condition — to avail the incentive, the institution will need to have an ISO certification that assures global standards and quality of services.
“The idea is to make institutions raise their quality standards by getting themselves ISO certified, and to make them financially stable. We expect the institutions to use the profits from this incentive to improve services,” said TC Benjamin, principal secretary, UDD.
All that aside, the institutions say in space-starved Mumbai, this is easier said than done. “While an ISO certification will make an organisation more accountable, renting out part of the premises will be difficult due to the city’s space crunch,” said Suhas Pednekar, principal at Ruia College, Matunga.
Kirti Narain, principal, Jai Hind College, said: “In a college, maintaining the academic atmosphere is critical, but if space is let out to a bank for instance, it should be exclusively for the benefit of the students. But colleges in Mumbai simply have no space.”
In 1995, the state allowed ISO-certified medical and educational institutes to use 30 per cent of their campus area for services directly related to the running of the institutions, including medical shops, stationery shops, bookstalls, banks with ATM, among others.
On September 5, a UDD notification made an amendment to that rule to use 20 per cent of it for commercial purposes, leaving 10 per cent for auxiliary services.