BMC to table new policy to renew lease of 4,177 plots in Mumbai

Of the 4,177 plots, the lease agreements of 242 have expired and need immediate renewal.

The Brihanmumbai Municipal Corporation (BMC) has put out a fresh proposal to renew 4,177 plots before the civic improvement committee. It will be tabled for discussion on Wednesday.

The Shiv Sena-run general body in the BMC had rejected the lease renewal policy last year. (HT File)

The move comes after the state government proposed a separate lease renewal policy for Mahalaxmi Race course and certain other clubs such as Willington in south Mumbai.

Of the 4,177 plots, the lease agreements of 242 have expired and need immediate renewal.

The Shiv Sena-run general body in the BMC had rejected the lease renewal policy last year.

Now, the state government will come up with separate rules to renew the lease for Mahalaxmi race course, five to seven gymkhanas and clubs. This will also pave the way for a separate directive to be issued on rent.

The 4,177 plots were leased out by the BMC for a period of 30 to 99 years. Many of these agreements, some dating back to 1970s, have already expired. In most cases, the lack of a policy creates problems not just for leaseholders but also the civic body.

With the new agreements not in place, BMC is not charging for the plots at the market value. Leaseholders of dilapidated buildings cannot renovate them until a policy is in place.

The new policy allows the BMC to renew leases and allow the tenant to regulate breaches in a three-year time frame.

Even the Mahalakshmi racecourse’ 99-year lease expired on May 31, 2013. The plot, around 8 lakh sqm, was given to Royal Western India Turf Club. With the Shiv Sena eyeing the plot to develop a theme park, its lease is yet to be renewed.

However, approving this policy will not mean approving the racecourse’ lease, as the state is yet to pass directives on this, said a civic official.

A senior civic official said, “Now we hope that with the non-inclusion of the Mahalaxmi racecourse, the ruling party will approve the policy as it has been held for a long time.

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