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Collector’s land in Mumbai: Premium payment, nod stall redevelopment

Converting the land to freehold would end dependency on the collector.

mumbai Updated: Feb 07, 2018 01:38 IST
HT Correspondent
HT Correspondent
Hindustan Times
Mumbai,collector's land,redevelopment
Converting the land to freehold would end dependency on the collector.(FILE)

With the government dragging its feet on conversion of collector’s land to freehold, the redevelopment of 3,000 societies in Mumbai and 22,000 across the state on such plots is stuck for almost two years.

Converting the land to freehold would end dependency on the collector.

The societies have been demanding an amnesty scheme to convert their society land from Class 2 (collector) to Class 1 (freehold) be implemented. This would ensure that the land would be freed from government control. The Yeshwantrao Chavan Academy of Development Administration (YASHADA), Pune had suggested reforms to convert land, which were accepted by the government. A Cabinet decision was taken on February 17, 2016.

The state allotted the plots between 1968 and 1983. They were asked to adhere to several conditions while allotting the land. However, over a period of time, the collectors started asserting their authority and wanted all things to be routed through them.

Salil Rameshchandra, convener and chairman, Shivsrushthi Association Housing Societies Cooperative Limited at Chembur, said, “The builder has to go through tremendous stress obtaining approvals from the collector and also pay a hefty premium of 25 % on the land. This proves to be costly and time- consuming. Builders tend to resist revamping such societies.”

Moreover, there is also problem in resale of flats in these societies as the collectorate demands a transfer fee of Rs200-Rs800 a square feet from the buyer. Even in case of leave and licence, the collector demands 5% of the total amount earmarked in the lease agreement.

N K Pratapan, general secretary, Pestom Sagar Citizens Forum, said, “We have paid the whole value for the land. It is not fair for collector to demand their share in every transaction.”

Government officials have defended their move. “It is our land and we have a right to take our share. The residents got plots at highly concessional rates,” said an official who refused to comment.

First Published: Feb 07, 2018 01:38 IST