Eknath Shinde, the deputy chief minister of Maharashtra, declared on Thursday a “historic decision” to reconstruct Mumbai’s “Pagdi” structures, with the ultimate goal of eradicating them from the city.
In the legislative assembly, Shinde, who is in charge of housing, made the news. Pagdi is a conventional tenancy rental type in which the tenant has the ability to sublease and sell the property, enjoys low rental rates, and is a part-owner of the house.
According to Shinde, the majority of Mumbai’s 19,000 cessed buildings—also referred to as Pagdi buildings—were constructed before to 1960.
Nearly 13,000 of these structures are currently awaiting rehabilitation, while others have undergone renovation and others have fallen. The Maharashtra Rent Control Act protects renters in these buildings, but landlords contend that the tenants’ broad rights prevent them from receiving just compensation, he added.
Due to structural complexity and legal problems, the reconstruction of Pagdi buildings has gotten a dismal reaction. It is crucial to have a just and balanced system that safeguards the interests of both landlords and tenants, according to Shinde.
He pointed out that Floor Space Index (FSI) incentives by themselves are insufficient for low-income and economically disadvantaged renters, and the government would make sure the whole cost of rebuilding their current residences is paid. For this reason, a different set of regulations will be created.
Landlords will get FSI in accordance with their claim to land ownership, while tenants would receive FSI equivalent to the area they already occupy, and low-income and economically disadvantaged Pagdi occupants will receive incentive FSI to cover free reconstruction, according to the proposed rules.
The remaining amount will be given as Transferable Development Rights (TDR) if height or other limitations prohibit the use of the whole FSI.
According to Shinde, the action will speed up the renovation of historic structures, stop collapses, and lessen property and human casualties. Regulations 33(7) and 33(9) will still be available, but the new framework will provide structures that have not yet benefitted an extra path.
Nearly 28,000 tenant-landlord lawsuits are outstanding in small-cause courts, according to the deputy chief minister, postponing reconstruction for decades. In order to resolve these cases within three years, the government will establish more fast-track courts with the high court’s consent.
“Lakhs of Mumbai residents who live in Pagdi towers will now be able to obtain ownership-based homes thanks to this program. Injustice will not affect either landlords or tenants. “The administration is dedicated to overcoming any further obstacles,” stated Shinde.
