Dhankawadi housing society first in Pune to get freehold status under Maha’s land status conversion
Earlier, owners of flats on leasehold or occupancy land had to seek permission from the collector’s office before selling their flats, often paying an additional amount to the government
A year after the Maharashtra government extended the deadline for converting leasehold and occupancy (class 2) land to freehold (class 1) land, Shri Dnyaneshwar Cooperative Housing Society aka Panchavati Society in Dhankawadi has become the first housing society in Pune to benefit from the policy.
Earlier, owners of flats on leasehold or occupancy land had to seek permission from the collector’s office before selling their flats, often paying an additional amount to the government.
On February 20, the state revenue department extended the deadline for conversion applications to December 31, 2025. On March 4, the Maharashtra government issued a notification allowing leasehold and occupancy (class 2) land to be converted to freehold (class 1) land by paying a premium of up to 25% of the ready reckoner (RR) rate of the land area. Occupancy (class 2) land comes with ownership restrictions while leasehold land is government-owned and leased to individuals, cooperative housing societies, or industries. Converting leasehold land to freehold land grants full ownership rights upon payment of the required premium.
With the status change, societies can obtain conveyance deeds more easily, flat owners can sell without government approval, and members can opt for redevelopment without legal hurdles while paying premium.
Constructed in 2007-08 with around 400 members, Shri Dnyaneshwar Cooperative Housing Society applied for land status change in 2024 and paid around ₹1.5 crore as premium to secure freehold status. The society began the process for converting land from leasehold to freehold six years ago.
Shri Dnyaneshwar Cooperative Housing Society- chairman Vikram Naiknimbalkar and secretary Pradeep Kadam said, “We started this process six years ago. We convinced people of the benefits… This society got redeveloped in the year 2006. Since that year, the issue was pending and for every job, we needed to go to the government.”
The housing society office-bearers Ram Khutwad and Nitin Kudale said, “Our society had 457 members. This may be the first housing society in Pune which has such a large number of members and carried out the whole process on its own. We paid around ₹5 crore to the government for converting this land. It is not an easy task to collect ₹5 crore from the citizens. But all our members participated in the process and gave their share. Some of the members are retired. They broke their fixed deposits (FDs) and gave contributions from their pensions. We handled the entire process on our own. Even minister of state for urban development Madhuri Misal helped us to coordinate with the state government.”
Minister of state for urban development Madhuri Misal, who has been advocating the issue for years, said, “Many flood-affected residents in Sahakarnagar and other areas were given land with government ownership. Converting these lands into freehold will allow occupants to redevelop their properties.”
Housing Federation president Suhas Patwardhan said, “Many lands were given on lease or awarded to citizens and societies. This scheme benefits both the state government and residents—the ownership remains unchanged, but the government gains revenue, and societies gain redevelopment rights. Flat owners will no longer need to approach the collector’s office for approvals.”
Pune District Residential Deputy Collector Jyoti Kadam confirmed that the scheme has been in place since 2018 and that many Pune residents are now coming forward to apply.
However, societies face challenges in implementation. A housing society office-bearer, speaking anonymously, said, “Many of these lands were leased out decades ago. Gathering documents is difficult as builders and past owners are no longer reachable. Even though the government requires only a 25% premium, it is tough to convince members to contribute, especially in large societies where maintenance payments are already an issue.”