The state government and the Brihanmumbai Municipal Corporation (BMC) have decided to fast-track the procedures to approve construction projects in the city.
Once a proposal is submitted by the architect of the developer, it should be either approved within 90 days or rejected instantly.
“We have been receiving complaints about administrative delays, which have become a stumbling block. It takes at least four years to get an approval for a proposal. Delay in commercial and residential projects escalates the total cost of the project, which puts an additional burden on the end-user. We want to streamline the procedure by removing all unnecessary hurdles such as seeking permissions. So, the developers will be able to complete the project on time and there will not be any delay in handing over it to the buyers,” said a senior government official, who is working on this proposal.
Paras Gundecha, president of the Maharashtra Chambers of Housing Industry (MCHI), welcomed the government decision.
“There should be one-window system. For a developer, maximum time is wasted while obtaining several no objection certificates (NoCs). For a simple proposal, a developer has to take minimum 52 approvals. If the project is of a high rise and it falls under coastal regulation zone, then there is no end to it. It is a difficult situation for him where he will not be sure when the project will get a final nod. I am happy that the government has decided to work on this area,” he said.
He further said the buyer is the only sufferer if the project gets delayed. “People park their entire savings while buying a house in a city like Mumbai. If he gets possession of the house late, then he has to pay equated monthly installments (EMIs) for his housing loan as well as rent,” Gundecha added.
Pankaj Kapoor, managing director of the real estate research firm Liases and Foras, said that there should be always a huge supply of housing units to check the exorbitant housing prices. “If supply of houses is more, then it is natural that the inflated prices will come down. And, it is the government’s duty to approve as many proposals on time to avoid the crunch of housing units in the city. If the government is really serious and concerned about the common man and the current housing prices, then they should have a time-bound approval system,” he said.
