The Maharashtra Government has introduced a revised procedure for the redevelopment of cooperative housing societies, aimed at strengthening member participation, transparency and accountability in the process.
Under the Government Order issued on Wednesday under Section 79A of the Maharashtra Cooperative Societies Act, redevelopment of a society’s building will require approval from at least 51% of its total members, with the Special General Body Meeting requiring a two-thirds quorum.
The order also specifies that the redevelopment decision must be taken by a duly elected and legally constituted managing committee and cannot be taken by a Registrar-appointed authorised officer, administrator or authorised officer board.
The revised framework makes the appointment of an architect or Project Management Consultant (PMC) an important early step. The PMC/architect is required to prepare a project report covering the available FSI/TDR, planning options, members’ requirements, parking and other project parameters before the tendering process.
For developer selection, societies will have to invite competitive tenders, with three bids as the prescribed benchmark. If fewer than three bids are received, the rules provide for additional time to invite further bids before proceeding with the available bids.
The developer-selection Special General Body Meeting must be held in the presence of a Registrar-appointed authorised officer, who will verify members’ identity and the quorum. The meeting must also be video recorded.
The order further requires redevelopment-related notices, minutes, project reports, tender documents, comparative statements, video recordings and other key records to be made available to members for inspection. Members can seek copies of such documents on payment of the prescribed fee.
The framework also lays down safeguards concerning development agreements, bank guarantees, alternative accommodation, Permanent Alternative Accommodation Agreements, carpet area, allotment of redeveloped flats and membership of new flat/shop holders.
The revised procedure supersedes the July 4, 2019 Government Resolution and subsequent circulars issued under it concerning redevelopment. The government said the revised framework is intended to bring greater transparency and uniformity to the redevelopment process and protect the broader interests of cooperative housing society members.
