Cidco clears amnesty scheme for unauthorised multi-dwelling units

Constructions undertaken without prior approval will be regularised upon payment of penal charges—a one-time fee of 25% of the reserve price for residential bungalows and 150% for plots used for commercial purposes

Mumbai: Days after the Maharashtra government decided to regularise unauthorised residential constructions and encroachments existing as of January 1, 2011, the City Industrial and Development Corporation (Cidco) has approved an amnesty scheme to regularise multi-dwelling units constructed on bungalow and row house plots in Navi Mumbai.

Navi Mumbai, India - March 3, 2023:Parking beneath high tension wire line by CIDCO bhavan at CBD Belapur in Navi Mumbai, India, on Friday, March 3, 2023. (Photo by Bachchan Kumar/ HT PHOTO) (HT PHOTO)

According to a Cidco board resolution passed on March 23, a copy of which is with HT, multi-dwelling units constructed by plot holders after obtaining the requisite permissions from the planning authority will be deemed regularised without any charges. However, constructions undertaken without prior approval will be regularised upon payment of penal charges—a one-time fee of 25% of the reserve price for residential bungalows and 150% for plots used for commercial purposes.

The decision was taken during a Cidco board meeting on March 12, in which the matter was deliberated at length. According to Cidco officials, there are several cases in which bungalow and rowhouse owners have not obtained the requisite permissions.

In cases where reconstruction is proposed, the resolution stated that the existing structures must first be regularised before redevelopment can proceed. Subsequent development will be governed by the prevailing Development Control Regulations (DCR) and Unified Development Control and Promotion Regulations (UDCPR).

Additionally, the board approved the development and redevelopment of bungalow and row house plots as per existing norms. It also encouraged the amalgamation of such plots with different owners to facilitate better planning and utilisation, in line with prevailing regulations. Following regularisation, all such allotments will be treated as residential, and individual dwelling units will be recognised separately, allowing transfer and mortgage as per existing policies.

The board has authorised the vice-chairman and managing director of Cidco to implement the decision immediately.

Homeowners and developers in Navi Mumbai welcomed the decision. A row house owner, requesting anonymity, said additions were often made to homes over time to accommodate growing families. “We shifted to Navi Mumbai in the mid ’80s. When my son got married, we had to add one more room, and later another one for my grandchildren. Now, we have been approached by a builder for redevelopment, and it’s always better if we can regularise this,” the resident said.

Prakash Baviskar, chairman and managing director of the Baviskar Group, a Navi Mumbai-based real estate firm, termed the decision a “game-changer” for the satellite city’s real estate sector. “It brings long-awaited legal clarity to thousands of unauthorised constructions and provides much-needed relief to property owners. More importantly, it will accelerate redevelopment and promote structured urban growth in the region,” said Baviskar, who is also the secretary of the Marathi Bandhkam Vyavsaik Mahasangha, a builders’ association.

BN Kumar, a civic rights activist and a Navi Mumbai resident for over four decades, said most home extensions were driven by necessity as families expanded. He added that authorities must now ensure the structural safety of such alterations, many of which were carried out without expert supervision.

“With these structures now over three decades old, they are eligible for redevelopment, subject to homeowners coming together,” he said, pointing to a parallel opportunity within the real estate sector.