New ready reckoner rates will not apply to old redevelopment plans

The Maharashtra Housing and Area Development Authority (Mhada) has decided that higher ready reckoner rates will not be applicable for redevelopment proposals, which are pending with the administration, next year.

Every year, the authority decides on the ready reckoner rates - the base rates for Mhada houses from area to area. As the rates increase every year, those proposals which are under consideration for redevelopment under the 33 (5) section of the authority have to pay more. This means that if an official wants to get more money from a particular project, he can simply sit on the proposal submitted by the present Mhada colony.

To avoid this, now the authority has come up with a resolution, which says that in case there is a proposal pending for final approval and new ready reckoner rates are announced, these rates will not be applicable for the pending proposal.
“What this means is that officials cannot force higher rates for the pending proposals next year. This will prevent a hike in the free sale component as well as Mhada’s housing stock,” said a senior Mumbai board member.

The member added, “It is fortunate that the authority’s advisory committee, which consists of the chief architect, chief engineer, deputy director of town planning and deputy chief engineer of BMC, met last week and noticed the current resolution. Now house hunters across the city need not be bothered about Mhada houses rates going up next year.”