Ministry of Housing and Urban Poverty Alleviation,

Government of India
Conference on Rental Housing

Presentation by

Shri. S. C. Deshpande
Chief, Rental Housing Division
Mumbai Metropolitan Region Development
Authority

23rd September 2011

1
 MMRDA

Established in 1975 under MMRDA Act,1974 for

Planning, coordinating and supervising the proper,

orderly and rapid development of the areas in the
region and executing plans, projects and schemes for
such development, and to provide for matters
connected therewith.

2
MUMBAI METROPOLITAN REGION
Area 4355 [Link].
Population 1.92 Cr (2001)
Vasai-Virar Districts in MMR 1. Mumbai
2. Suburban
Thane Dist. 3. Thane
4. Raigad
Bhiwandi Corporations in MMR 1. Greater Mumbai
Mira-Bhayander
2. Thane
Sub- Thane 3. Navi Mumbai
urban Kalyan 4. Ulhas Nagar
Dist. 5. Kalyan-Dombivali
Ambernath
Ulhasnagar 6. Mira Bhayandar
Navi Mumbai Badlapur 7. Bhiwandi- Nizampur
8. Vasai-Virar
Municipal Councils in 1. Ambernath
Mumbai Panvel Matheran MMR 2. Kulgaon-Badlapur
3. Alibaug
4. Pen
Raigad Dist. Karjat
5. Uran
Uran
6. Matheran Hill Station
7. Panvel
Khopoli
8. Karjat
9. Khopoli
Pen

Alibag Villages 1000

Urbanisation 94% Urban Population
6% Rural Population

3
MMR – Population and Employment

Base Year (2005)

Total population : 20.80 millions

Total Employment : 07.60 millions

Pop (m) Employ (m)

Mumbai 12.86 4.7

Rest of region 7.94 2.9

4
 Regional Plan 1966-2011 Land-use

---------------------------------------------------
Use Area
in [Link]. % age
Vasai ---------------------------------------------------
U1 Zone 791 19
U2 Zone 217 5
I Zone 129 3
Thane Kalyan

G1 Zone 1350 32
G2 Zone 303 7
Forest 976 23
Navi Mumbai

Wetlands 116 3
Mumbai Others 231 5
---------------------------------------------------
Total Area 4355 100
---------------------------------------------------

5 5
Role of MMRDA

Regional Planning Authority for MMR

Special Planning Authority for certain notified areas within

MMR.

Development Financing Agency for ULBs within MMR.

Nodal Agency for Centrally Sponsored Schemes.

Co-ordination Agency for Infrastructure Projects implemented

by different agencies.

Implementing Agency for various infrastructure projects within

MMR with Transport Infrastructure as the primary focus.

6
Special Planning Authority

In Mumbai Dist. :
 Bandra-Kurla Complex
 Backbay Reclamation Scheme
 Oshiwara District Centre
 Wadala Truck Terminal
 International airport

In Thane Dist. :
 Ambernath-Badlapur surrounding area,
 27 villages excluded from KDMC,
 51 villages notified around Bhivandi,
 Gorai-Manori-Uttan notified area

7
Mumbai : the ‘Financial Hub’ of India

• Commercial and financial capital of

India
• Generates 5% of India’s GDP
• Contributes over 1/3rd of India’s tax
revenues
• 2 ports in Mumbai handle 1/3rd of
the country’s total foreign trade
• Caters to about 38% and 26% of
international and domestic air traffic
respectively
• Contributes over US$ 111 m
annually as taxes to Central
Government

8
 MMRDA - Constitution
Authority (1- Chairman,16 Members and 11 invitees)
Chairman : Minister for Urban Development Department
Members
Invitees Members
1. Minister of Housing
1. Mayor, Thane Municipal Corporation
2. Minister of State for Urban
2. Mayor, Navi Mumbai Municipal
Development
Corporation
3. MLC
3. Mayor, Kalyan Dombivali Municipal
4. Mayor of Mumbai
Corporation
5. Chairman, Standing Committee,
4. President, Khopoli Municipal Council
MCGM
5. President, Karjat Municipal Council
6. Councillor, MCGM
6. President, Pen Municipal Council
7. Councillor, MCGM
7. President Thane Zilla Parishad
8. Councillor, MCGM
8. President, Raigad Zilla Parishad
9. M.L.A.
9. Secretary, UDD
10. M.L.A.
10. Managing Director, MSRDC
11. Chief Secretary, Government of
11. Secretary, General Administration
Maharashtra
Department
12. Principal Secretary, UDD
13. Municipal Commissioner, MCGM
14. Secretary, Housing Department
15. Managing Director, CIDCO
16. Metropolitan Commissioner, MMRDA
9
 MMRDA - Constitution
Executive Committee ( Chairman – 1,Members - 8 and 4 invitees)
Chairman : Chief Secretary, Government of Maharashtra

Members Invitees
1. Expert Member 1. Secretary, UDD
2. Expert Member 2. Principal Secretary
3. Expert Member (Industries)
4. Principal Secretary, UDD 3. Secretary, Environment
5. Municipal Commissioner, 4. Secretary (Special Project),
MCGM G.A.D.
6. Secretary, housing
Department
7. Managing Director, CIDCO
8. Metropolitan Commissioner

10
 Projects under MMRDA

Sr No Name of the Projects

1 MUMBAI METRO RAIL PROJECT

2 MUMBAI MONO RAIL PROJECT
3 RENTAL HOUSING
4 INNOVATION PARK
5 MUMBAI URBAN TRANSPORT PROJECT – (MUTP)
Rail and Road Component, BEST Component, ATC, Pedestrian Subways
6 MUMBAI URBAN INFRASTRUCTURE PROJECT – (MUIP )
Road, Flyovers, Pedestrian Subways & FOBs, ROBs, Elevated Road
7 REDEVELOPMENT OF NARIMAN POINT
8 SKYWALKS
9 MUMBAIL TRANS HARBOUR LINK
10 MULTI MODAL CORRIDORS

11
 Projects under MMRDA

Sr No Name of the Projects

11 REGIONAL LANDFILL SITES & E-WASTE

12 NIRMAL MMR ABHIYAN
13 WATER TRANSPORT CELL (RO-RO)
14 WATER RESOURCES
15 POWER GENERATION
16 FUNICULAR RAILWAY AT MATHERAN
17 GORAI-MANORI-UTTAN NOTIFIED AREA
18 TREE PLANTATION & WATER CONSERVATION
19 MITHI RIVER DEVELOPMENT PROJECT – (MRDP )
20 WADALA TRUCK TERMINUS & ISBT
21 NATIONAL MASS TRANSIT TRAINING & RESEARCH INSTITUTE
22 RESETTLEMENT & REHABILITATION

12
 Projects under MMRDA

Sr No Name of the Projects

23 REFURBISHING MARINE DRIVE

24 GROWTH CENTERS
25 BACKBAY RECLAMATION
26 MUMBAI INTERNATIONAL AIRPORT NOTIFIED AREA
27 BANDRA-KURLA COMPLEX
28 OSHIWARA DISTRICT CENTER
29 PROJECTS UNDER JNNURM
30 HERITAGE & ENVIRONMENT
31 COMMUNITY FACILITATION CENTRES
32 COMPREHENSIVE TRANSPORTATION STUDY
33 ISSUES FOR CONSIDERATION

13
URBANISATION – GROWTH PROJECTION

2001 2031

India
 Total Population - 102.7 Cr. 144.98 Cr.
 Urban Population - 28.53 Cr. 51.70 Cr.
 % Urban to Total - 27.78% 35.60 %

Maharashtra
 Total Population - 9.67 Cr. 13.81 Cr.
 Urban Population - 4.10 Cr. 9.20 Cr.
 % Urban to Total - 42.39% 66.61 %

MMR
 Total Population - 1.92 Cr. 3.40 Cr.
 Urban Population - 1.80 Cr. 3.20 Cr.
 % Urban to Total - 93.50% 98 -100%

14
HOUSING IN MMR : SHORTAGE , DEMAND & SUPPLY

 In Mumbai, an estimated 60% of pop lives in slums.

 Slum pop in MMR (2011) - 1 Cr.
 No of houses required - 20,00,000 (Family size - 5 )
 Slumless MMR : 2011- 2031 - 20 years (Backlog Removal )
 Slumless MMR : Housing demand - 1 lakh/ year

 Total Housing Demand : MMR

Slumless MMR : - 100,000 / year
POP Growth + Migration : - 50,000 / year (EWS/LIG)
Total : - 150,000 / year
 Rental Housing: (MMRDA) - 1 lakh / year

15
HOMES FOR ALL

 Mah Chamber of Hsg Industry (MCHI) and GoM signed Joint

Declaration on 28.4.2010 to construct 5 lakh houses in 5
years.

 Govt constitutes committee under Chairmanship of Hon’ble

Chief Secretary to supervise the set objectives such as
single window clearance etc.

 Immediate target of MMRDA - 1 lakh houses /year

( for 5 years)

16
MAHARASHTRA STATE HOUSING POLICY 2007

Objective :
To facilitate affordable housing to the poor on
ownership or rental basis.

Relevant Features :
 Role of private sector in Rental Housing.
 Incentivize Rental Housing through higher Floor Space
Index (FSI).

17
RENTAL HOUSING - GOM DIRECTIVES

 MMRDA - Project Implementing Agency (PIA)

 Metropolitan Commissioner, MMRDA - Chief Executive
Officer (CEO)

 Rental Housing - Vital Public Purpose Project

 Slum Prevention Program as against Slum Rehabilitation
Scheme

 Directives - for ULB’s - Aug 2008

onwards
 Notification - for U1 & U2 zones of MMR - Nov 26 ,2008

18
RENTAL HOUSING SCHEME - OBJECTIVE

To make available a self-contained dwelling unit

of 160 [Link]. (14.86 sqmt ) carpet area on leave and license

basis in the Mumbai Metropolitan Region within the

financial reach of Economically Weaker Section (EWS) and

Low Income Group (LIG) i.e at an affordable rent of Rs. 800

to 1500 per month and thus achieve inclusive growth in

the region.
19
 RENTAL HOUSING - ELIGIBILITY CRITERIA

1. The allottee under the project shall

have employment / self
employment business within MMR
and minimum family income of the
allottee shall be Rs. 5000/- per
month.
2. The allottee and his family
member shall not own any house
in Mumbai Metropolitan Region.
3. The allottee shall be continuously
residing in the State of
Typical
Maharashtra for at least 15 years RENTAL HOUSING UNIT
before the date of application for
rental housing. (as per
modification in respect of rental
housing DCR for MMR dated
04/06/09) Carpet Area: 14.86 sq.m (160.00 [Link])

4. The allotment shall be made in the Built-up Area: 18.00 sq.m (193.00 [Link])
joint name of spouse if married. 20
DEVELOPMENT MODELS
Sr Applicable to ULBs Type of Total Componen Component for
No Model FSI t for Rental Developer
Housing

1 Municipal Councils of Karjat, Pen, Uran, Model-1 4 FSI 1.00 FSI with 3.00 FSI
Alibagh and Khopoli. Municipal Corporations (FSI 25% appt. (15 % commercial )
of Thane, Kalyan-Dombivali, Mira-Bhayander, Land
MODEL)
Bhiwandi-Nizampur, and Special Planning (15 %
(Private commercial )
Authority Areas at Vasai-Virar Subregion, and Land)
Ambernath, Kulgaon, Badlapur and
Surrounding Notified Area, and Municipal
Council of Panvel and Urbanisable Zone-1 (U1)
and Urbanisable Zone-2 (U2) within Mumbai
Metropolitan Region

2 Municipal Corporations of Greater Mumbai, Model-2 3 FSI 3.00 FSI* of TDR $ equivalent to plot
Thane, Kalyan-Dombivali, Mira-Bhayander, (TDR total land area for land/ Land TDR
Bhiwandi-Nizampur, and Special Planning MODEL) (100%
Authority Areas at Vasai-Virar Subregion, and
+
(Private land)
Ambernath, Kulgaon, Badlapur and Construction TDR of 1.33 X
Land) 3 (FSI of Rental Housing) -
Surrounding Notified Area, and Municipal
Council of Panvel Construction TDR

3 Construction of Rental Housing on any Model-3 4 FSI 3 FSI: Rental Housing

unencumbered lands vested with MMRDA# in (MMRDA 1 FSI: Commercial
Mumbai Metropolitan Region LAND) (to be developed by MMRDA)
(100% land)
Note:
FSI*-Floor Space Index, TDR$ - Transferable Development Right, MMRDA# -Mumbai Metropolitan Region Development Authority
21
MODEL-1: TDR is applicable ( FSI 3.00 )
1 Area of land in sq.m. A 10,000

2 FSI for Rental Housing B 3.0 FSI

3 Built-up Area of Rental Housing in sq.m. AXB=C 30,000

(1667 units)

4 Total built-up area of Rental Housing in sq.m. including 1.3XC=D 39,000

balwadi, amenity, staircase, passage etc.

Costing

5 Rate of Construction of Rental Housing E Rs.10,000/sq.m.

6 Cost of construction DXE=F Rs.39,00,00,000

7 Rate of land (Assumed Rs 930/[Link].) G Rs.10,000/sq.m.

8 Cost of land AXG=H Rs. 10,00,00,000

9 Cost to developer F+H=I Rs. 49,00,00,000

Recovery

10 Total TDR (Land TDR + Construction TDR) A+1.33D=J 61870 sq.m

11 Market Rate of TDR K Rs.10000/sq.m.

12 Value of TDR JXK=L Rs.61,87,00,000

Surplus L-I=M Rs.12,87,00,000

22
 MODEL-2: TDR not applicable ( FSI 4.00 )
1 Area of land in sq.m. A 10,000
2 FSI for Rental Housing (Minimum 25% land) B 1.0 FSI

3 Built-up Area of Rental Housing in sq.m. AXB 10000 (555 Units)

4 Total built-up area of Rental Housing in sq.m. including 1.3XAXB=C 13,000

balwadi, amenity, staircase, passage etc.
5 FSI for Private Housing (Maximum 75% land) D 3.0 FSI

6 Total built-up area of Private Housing in sq.m. including, 1.3XAXD=E 39,000

amenity, staircase, passage etc.
Costing

7 Rate of Construction F Rs.10,000/sq.m.

8 Cost of construction of Rental Housing CXF=G Rs.13,00,00,000

9 Cost of construction of Private Housing EXF=H Rs.39,00,00,000

10 Rate of land (Assumed Rs 150/[Link].) I Rs.15,00/sq.m.

11 Cost of land AXI=J Rs. 15,00,00,00

Cost to developer G+H+J=K Rs. 53,50,00,000

Recovery

12 Rate of sale of Private Housing (Assumed Rs 1394/[Link]) L Rs.15000/sq.m.

13 Sale Recovery EXL=M Rs.58,50,00,000
Surplus M-K Rs (50,000,000)

Viability gap may be required to make project viable in certain locations 23

MODEL-3: MMRDA LAND ( FSI 4.00 )

1 Area of land in sq.m. A 10,000

2 FSI for Rental Housing B 3.0 FSI

3 Built-up Area of Rental Housing in sq.m. AxB 30,000 (1667 Units)

4 Total built-up area of Rental Housing in sq.m. including 1.3XAXB=C 39,000

balwadi, amenity, staircase, passage etc.
5 FSI for Commercial D 1.0 FSI

6 Total built-up area of Commercial including, amenity, staircase, 1.3XAXD=E 13,000

passage etc.

Costing

7 Cost of land Government land

8 Rate of Construction F Rs.10,000/sq.m.

9 Cost of construction of Rental Housing CXF=G Rs.39,00,00,000

10 Cost of construction of Commercial EXF=H Rs.13,00,00,000

11 Cost to developer G+H=I Rs. 52,00,00,000

Recovery

12 Rate of sale of Commercial Area (Assume Rs.4648/[Link]) J Rs.50,000/sq.m.

13 Sale Recovery EXJ=K Rs.65,00,00,000

Surplus K-I Rs.13,00,00,000

24
RENTAL HOUSING PROPOSALS - CURRENT STATUS

Total Rental Housing Proposals 204 894,360

Active Proposals 151 472,454

1 In Principle Locational Clearance Granted by MMRDA 50 255,493
I LC Alive 37 85,646
ii LC Cancelled by MMRDA 10 166,735
iii LC Stayed by MMRDA 2 2,946
iv LC Granted but Proposal Withdrawn by Applicant 1 166
2 Proposals Under Scrutiny at MMRDA 8 7,673
3 Document Asked by MMRDA 43 109,487
4 ULC Affected proposals to be cleared as per Govt. GR dated 25/08/2011. 21 51,174
Proposals from 27 Villages in Kalyan at MMRDA SPA:
5 28 47,976
Awaiting DP Publication
Proposals from 51 Villages in Bhiwandi at MMRDA SPA :
6 1 651
Awaiting DP Publication

Closed Proposals 53 421,906

25
SUMMARY – LC Granted till date

Sr.
Status Thane District Raigad District Total
No.

Proposals RHUs Proposals RHUs Proposals RHUs

1 CC Granted 12 15,659 5 16,756 17 32,415

2 CC Pending 22 142,070 7 26,856 29 168,926

3 Not applied for CC 3 38,369 1 15,783 4 54,152

TOTAL 37 196,098 13 59,395 50 255,493

• VVMC
• SRZ & LDZ

26
RENTAL HOUSING PROPOSALS – Location spread
Sr. No. of No. of
Name of ULB
No. Cases RHUs

1 Raigad District 13
58,301

Vasai-Virar Municipal
2 4 113,598
Corporation

3 CIDCO (SPA) 1 10,115

Kalyan Dombivali
4 2 36,029
Municipal Corporation

Thane Municipal
5 17 22,177
Corporation

6 MMRDA (SPA) 5 8,278

Mira Bhayendar
7 7 5,036
Municipal Corporation

Ulhasnagar Municipal
8 1 378
Corporation

TOTAL 50 255,493

27
RENTAL HOUSING - ASSET VALUATION
Asset Creation from 2.55 Lakh RHU
Sr. No. Particulars Rental Housing Free Sale Housing
i. F.S.I. 1 3
ii. Size of Each Unit 20 sq.m. each 60 sq.m. each.
iii. Locational Clearance 50 Nos.
Granted proposals
iv. No. of Housing units. 2,55,493 Nos. 2,53,142 Nos.
v. Construction Rate :
a. For U1 U2 area Rs. 10,000/ sq. m. Rs. 15,000 / sq. m.
b. For Corporation areas Rs. 15,000/ sq. m. Rs. 20,000 / sq. m.
vi. Const Cost:
a. For U1 U2 areas 20 sq. m(i.e. 1 unit) x Rs. 10,000 60 sq. m(i.e. 1 unit) x Rs. 15,000
Rs. 2,00,000/- per unit Rs. 9,00,000/- per unit
67,476 RHUs x 2,00,000 66,855 RHUs x 9,00,000
Approx. Rs. 1,349Crores Approx. Rs. 6,017 Crores
b. For Corporation areas 20 sq. m(i.e. 1 unit) x Rs. 15,000 60 sq. m(i.e. 1 unit) x Rs. 20,000
Rs. 3,00,000/- per unit Rs. 12,00,000/- per unit
1,88,017 RHUs x 3,00,000 1,86,287 RHUs x 12,00,000
Approx. Rs. 5,640Crores Approx. Rs. 22,354 Crores
Total Const Cost Approx Rs. 6,988 Crores Approx Rs. 28,356 Crores
vii. Market Value:
a. For U1 U2 limit 20 sq. m ( i.e. 1 unit ) x Rs. 25,000 60 sq. m ( i.e. 1 unit ) x Rs. 35,000
Rs. 5,00,000 /- per unit Rs. 21,00,000 /- per unit
67,476 RHUs x 5,00,000 66,855 RHUs x 21,00,000
Approx. Rs. 3,373 Crores Approx. Rs. 14,039 Crores
b. For Corporation areas 20 sq. m ( i.e. 1 unit ) x Rs. 35,000 60 sq. m ( i.e. 1 unit ) x Rs. 50,000
Rs. 7,00,000 /- per unit Rs. 21,00,000 /- per unit
1,88,017 RHUs x 7,00,000 1,86,287 RHUs x 21,00,000
Approx. Rs. 13,161Crores Approx. Rs. 39,120Crores
Total Market Value @ Market
rate Approx Rs. 16,535 Crores Approx Rs. 53,156 Crores
28
RENTAL HOUSING : Rent collection
Rent collection from 2.55 Lakh RHU’s

Particulars Rent Collection

Projected Rent Collection

For Corporation areas 12 x 1500 x 1,88,017 = Appx. Rs 338.43 Cr

(Unit Rent – Rs 1500/- Month)

For U1 U2 Zone
within Thane District. 12 x 1500 x 8081 = Appx. Rs 14.54 Cr
(Unit Rent – Rs 1500/- Month)

For U1U2 Zone

within Raigad District. 12 x 1000 x 59,395 = Appx. Rs 71.27 Cr
(Unit Rent – Rs 1000/- Month)

Total 2.55 Lakh RH Units Appx. Rs. 424.25 Cr / year

At 80 % Occupancy the Rent Collection is [Link]. 339.40 Cr/year 29

RENTAL HOUSING - INFRASTRUCTURE CHARGE

Sr. GR Details Infrastructure Charges in Rs/sq. mt for surplus

No. BUA
Private Land MMRDA Land
1 GR dated 6th August, 2008 for 1000/- 900/-
Greater Mumbai-Suburbs (MMRDA to forward 90% (MMRDA to pay
amount to MCGM and retain MCGM)
10% amount)
2 st
GR dated 21 August, 2008 for 500/- 450/-
Municipals Council’s of Karjat, (MMRDA to forward 90% (MMRDA to pay
Pen, Uran, Alibagh and Khopoli amount to Concerned Concerned Planning
Planning Authority and retain Authority i.e. 90% of
GR dated 4th November, 2008 for 10% amount) Rs. 500/-)
Thane, Kalyan-Dombivali, Mira-
Bhayander, Bhiwandi-Nizampur
and Special Planning Authority
areas at Vasai-Virar subregion
and Ambernath, Kulgaon,
Badlapur & surrounding notified
area and Municipal Council of
Panvel
3 GR dated 26th November, 2008 250/- NA
for U1 and U2 Zones in MMR.

30
INFRASTRUCTURE CHARGES - COLLECTION
Infrastructure charge collection from 2.55 Lakh Rental Housing Units
FSI
Permis
Total BUA BUA
Off Site sible Addl. BUA
Net Plot Permissibl under Off site Infr.
Sr. Infra No. of as per 40 %
Location area e as per Rental Diff In BUA Amount
No. Charges Proposals MMR Exempted
MMR DCR / Housing
Rs/ Sq. Mt. DCR / in FSI
Local DCR Scheme
Local
DCR

Areas in sqmt

1 U1, U2 250/ Sq. mt. 18 1331585 0.4 532634.06 5326341 6657925.80 6125291.74 153.13 Crores

Corporation
2 500/ Sq. mt. 32 3734788 1 3734787.67 14939151 18673938.35 14939150.68 746.95 Crores
limit

Council
3 500/ Sq. mt. 0 0 1 0 0 0 0 0
limit

Total 50 900.09 Crores

MMRDA shall arrange for offsite infra in U1 U2 areas and within ULB’s to the extent possible and feasible
31
QUALITY CONTROL AND MAINTENANCE

 QUALITY CONTROL – Specifications of rental hsg. prescribed by

MMRDA , MMRDA engineers supervise construction , PMC in place
shortly.

 MAINTENANCE – Assuming Rs 3 per sqft as maintenance cost the

total maintenance cost per unit will be about Rs 500/month and for
2.55 lakh rental units whose applications are cleared in principle by
MMRDA
 The rent collection projected is Rs 424.25 cr ( Rs 339.40 cr at 80
% Occupancy )
 While maintenance cost is Rs 147 cr .
 It is modest surplus assuming vacancy and rent evasion ,
moreover
 The market value of the asset is Rs 16,535 crores which could be
leveraged in several financial models in management
 As on date offsite infra collection by MMRDA is Rs 3 cr .
32
EMPANELLED LIST OF PMCs FOR RHS

PANEL-I PANEL-II PANEL-III

(Upto 1,000 RHUs or (For 1,001 to 5,000 RHUs or (Above 5,000 RHUs or
BUA upto 20,000 Sqmt.) BUA 20,001 to 100,000 Sqmt.) BUA more than 100,000 Sqmt.)
Sr. Name of Consultant Sr. Name of Consultant Sr. Name of Consultant
No. No. No.
1 Master & Associates 1 M/s Mukesh & Associates 1 Shrikande Consultant Pvt.
2 M/s Wapcos Limited 2 Master & Associates Ltd
3 Magus Consulting Pvt. Ltd. 3 Shrikande Consultants 2 Mukesh and Associates
4 Frischmann Prabhu (India) [Link].
3 Wapcos Limited
Pvt. Ltd. 4 Wapcos Limited

5 Shashi Prabhu and 5 Epicons Consultants Pvt. 4 Louis Berger Group Inc.
Associates Ltd. 5 Frischmann Prabhu (India)
6 C.N. A. Architects 6 Patwardhan and Associates Pvt. Ltd.
7 The Louis Berger Group Inc. 7 Frischmann Prabhu (India) 6 Pentacle Consultants (I)
8 Patwardhan and Associates Pvt. Ltd. Pvt. Ltd
8 Shashi Prabhu and 7 Shashi Prabhu and
9 Kalayojan Architects
Associates Associates
10 M/s SGS India Pvt. Ltd
9 SNC - Lavalin Infrastructure 8 SNC - Lavalin
11 Ar/En. Vijay B. Sambrekar Pvt. Ltd. infrastructure Pvt. Ltd.
12 SC Techno Consultants Pvt. 10 The Louis Berger Group Inc
Ltd. 9 Consulting Engineering
11 C.N.A. Architects Services (India) Pvt. Ltd.
13 Urban Pandit Architects &
12 M/s SGS India Pvt. Ltd.
Consultants LLP. 10 Magus Consulting Pvt. Ltd.
13 Magus Consulting Pvt. Ltd
14 Dipak D. Kulkarni
14 Monarch & Surveyors & 11 SGS India [Link].
Engg. Consultant Pvt. Ltd.
33
ALLOTMENT AND MANAGEMENT

 ALLOTTMENT – MMRDA will adopt online lottery system

and success stories of MHADA will be replicated and
improvesided to make it applicant friendly

 MANAGEMENT – VARIOUS MODELS INCLUDING PPP,

OUTSOURCING , JV , NGOs, ASSET MANAGEMENT
COMPANIES, SPV , SECTION 25 COMPANY , ALMO (ARMS
LENGTH MANAGEMENT ORG ) WILL BE FOLLOWED

34
 PROJECTS

M/s Neelkamal Realtors Suburban Pvt. Ltd. M/s Ackruti M/s Lucina Land Dev. Ltd.
Mahajanwadi, Thane (2675 RHUs) Majiwade, Thane (1114 RHUs) Kon, Panvel (5274 RHUs)

M/s Dosti Corporation M/s Friends Development 35

Panch Pakhadi, Thane ( 1448 RHUs) Chitalsar Manpada, Thane (1211 RHUs)
PROJECTS

M/s Cheda and Cheda Enterprises M/s Magestic Premises Pvt. Ltd.
Naupada, Thane (113 RHUs) Panchpakhadi, Thane (105 RHUs)

M/s Cow Town Land Pvt. Ltd. M/s Supreme Parivaar ( 5 Acre ) M/s Adhiraj Construction Pvt. Ltd.
Mira Road, Thane ( 635 RHUs) Rohinjan, Panvel (1019 RHUs) Rohinjan, Panvel (4958 RHUs)
36
RENTAL HOUSING SCHEME: YEAR WISE COMPLETION PROGRAM

Total
Sr. Name and Location of Rental 2011 2012 2013 2014 2015 No. of
No. Housing Scheme RHUs
Dec Jun Dec Jun Dec Jun Dec Jun Dec

1 M/s Neelkamal Realtors Suburban Pvt. Ltd, 600 840 520 385 330 - - - - 2675
Mahajanwadi, Thane (8 bldgs.)
2 M/s Ackruti (M/s Asiatic Gases) Majiwade, - 300 329 250 235 - - - - 1114
Thane (5 bldgs.)
3 M/s Lucina Land Dev. Pvt. Ltd. 215 2511 2050 498 - - - - - 5274
Kon, Panvel (12 bldgs.)
4 M/s Dosti Corporation 1448 - - - - - - - 1448
Panchpakhadi, Thane (4bldgs.)
5 M/s Friends Development - 400 811 - - - - - - 1211
Chitalsar Manpada, Thane (5 bldgs.)
6 M/s Cheda and Cheda Enterp. - - - 113 - - - - - 113
Naupada, Thane (1bldgs)
7 M/s Magestic Premises Pvt. Ltd. - - 105 - - - - - - 105
Panchpakhadi, Thane (1 bldgs)
8 M/s Cow Town Land Dev. Pvt. Ltd. - - - 300 335 - - - - 635
Mira Road, Thane (1 bldgs)
9 M/s Supreme Parivaar ( 5 Acre ) - - - 500 519 - - - - 1019
Rohinjan, Panvel (1 bldgs)
10 M/s Supreme Parivaar ( 15 Acre ) - - - - - - 1000 1000 776 2776
Rohinjan, Panvel
11 M/s Adhiraj Constructions Pvt. Ltd. - - - 700 800 1000 1000 1000 458 4958
Rohinjan, Panvel (8 bldgs)
Total 2263 4051 3815 2746 2219 1000 3776 1000 458 21328

37
Sample Rental Unit : M/s Dosti Corporation, Panchpakhadi, Thane

38
Sample Rental Unit : M/s Neelkamal Realtors Suburban Pvt. Ltd,
Mahajanwadi, Thane

39
 FORMATION OF COMMITTEE FOR IMPLEMENTATION OF RHS

 Urban Development Department vide Notification dated 08/09/2011

has constituted committee to look into the issues in detail addressed
by MMRDA vide its letter dated 03/06/2009 and to submit its report
to Govt.
 The members of the Committee are as follows :-
Metropolitan Commissioner, MMRDA Chairman
Addl. Metropolitan Commissioner, MMRDA Member
Vice President, MHADA Member
Chief Executive Officer, SRA, Mumbai Member
Municipal Commissioner, Thane Municipal Commissioner Member
Municipal Commissioner, Mira Bhayandar Municipal Member
Commissioner
Chief Engineer, (DP) Brihan Mumbai Municipal Member
Commissioner
Dy. Director of Town Planning, Kokan Division Member-
Secretary
40
 CLARIFICATIONS /MODIFICATIONS

1 Nomenclature to be changed from “Rental” 13 Development Charge, infrastructure charge,

to “Affordable” 14 scrutiny fee
15 Parking
2 Definition of Rental Housing Unit 16 Property tax
17 Deemed NA conversion
18 Stamp Duty
3 Release of FSI
Relocation of reservations within layout
4 Procedures for Developing Rental Housing 19
Scheme Tree cutting permission

5 Development of Amenities 20 Environmental Clearance ( SEAC) (SEIAA)

6 Gross Plot Area
7 Clubbing of the Land Parcels of the same 21 Concessions in open space and Height
owner relaxation
8 Development in NDZ Areas 22 Local DCR Applicability
9 Residual Plot to have 3 FSI
10 Application of scheme in NMMC Area and
MIDC Area 23 Staircase/Passage to be counted in FSI for
Issue of Ordinance to empower MMRDA – RH but to be exempted in Free Sale
11
Single Window Clearance
24 15% commercial of MMRDA to be cancelled
12 In U1 U2 areas FSI 1:3 to have an
alternative of UPTO 4

41
 Options

for

Managing Rental Housing Stock

42
 MUMBAI RENTAL MANAGEMENT OPTIONS

WHO IS HOMELESS INTERNATIONAL?

 UK based Non-profit agency founded by UK Housing Social
Housing Sector in 1987 to improve housing conditions for
poor communities internationally.
 HI’s focus is to support the development of local institutions
to achieve this
 HI Has been supporting Indian partner since 1988

WHAT ARE THE INTERESTS OF HOMELESS INTERNATIONAL?

 HI seeks to encourage rental housing in India and other
countries
 HI has access to a wealth of experience and expertise in the
development and management of rental housing
 HI considers the MMRDA rental initiative as a strategic and
desires to provide support
 HI has no commercial interest
43
 MUMBAI RENTAL MANAGEMENT OPTIONS

PURPOSE OF THE MOU

To develop and pilot a Special Purpose Vehicle (SPV) suitable to

Mumbai for managing and maintaining affordable rental housing for
low income families currently living in informal settlements, in rental
stock currently being constructed for the MMRDA

KEY CONSIDERATIONS
Homeless International is support the MMRDA in the following areas:
 Legal
 Business Planning
 Housing Management
 Policy Regulatory Matters
 Housing Finance and Viability
 Organisational Development, Capacity Building and Training

44
 MUMBAI RENTAL MANAGEMENT OPTIONS

SPV MODEL ASSESSMENT AREAS:

Legal Aspects: Business Planning:

 Corporate non-profit Status  Target Setting
 Contractual Agreements with  Service Planning
MMRDA  Outline initial costs and benefits
 Tenure Arrangements/ Agreements  Information Flows
 Enforcement Regulations  IT models and systems
 Allocations Procedures  Co-ordination
Housing Management:
 Allocations Policy/Regulatory Matters:
 Rent collection  Delegated Authority/ Reporting to
 Day to day and planned maintenance Regulator
 Disputes  Regulator responsibilities
 Services  Rent Setting
 Contract Enforcement/ Evictions  Arrears management
 Allocations
 Service Standards
Housing Finance/ Business Viability  Maintenance Procedures
 Financial Models  Insurance
 Budgeting & Cashflow
 Housing Finance Organisational Dev. and Training
 Banking  Competency Areas
 Job Descriptions
 Recruitment and Training
 Governance Procedures
 Conflict of interest regime
45
 MUMBAI RENTAL MANAGEMENT OPTIONS

UK MODELS BE CONSIDERED
Discussions in Mumbai and London considered the following
models operational in the UK for adaptation to Mumbai:

1. Facilities Management Model:Independent, private, for Profit

Company provides management, maintenance and rental
collection services for Local Authority on tendered/contract basis
2. Arms Length Management Organisation: Not-for-profit company set
up/owned up by Local Authority to manage housing stock.
Ownership of stock stays with Local Authority
3. Housing Association (Management): Non-Profit (Section 25) Company
managed by independent board of directors leases stock from
Local Authority and manages and maintains independently/ under
regulated conditions
4. Housing Association (Management + Development): Same as above
except HA purchases stock from Local Authority and develops
new stock with bank finance (Dominant UK Model)

46
Developer

Housing Units built Management For Profit Company

and transferred to Contract secured providing management,
MMRDA through Public maintenance and rental
Tender to manage collection
Stock and Collect
Rents Facilities
MMRDA Management
Company

Rental Payments
collected by FMA
for MMRDA

Allocations Agency
Tenants Tenants
selected
through Lottery
Process
MODEL 1
FACILITIES MANAGEMENT CONTRACT 47
Developer
Regulatory
Agency
Housing Units built and
transferred to MMRDA Monitoring and
scrutiny

ALMO = Not-for-profit company set

MMRDA ALMO up/owned up by MMRDA to manage
housing stock. Ownership of stock
stays with MMRDA

Rental payments
made to ALMO

Allocations Agency
Tenants Tenants
selected
through Lottery
Process
MODEL 2
ARMS LENGTH MANAGEMENT ORG (ALMO) 48
Developer
Regulatory Housing Association = Non-
Agency
Housing Units built and Profit/Section 25 Company
Monitoring and managed by independent
transferred to MMRDA
Scrutiny Board subject to MMRDA
consent

HOUSING
MMRDA ASSOCIATION

MMRDA Leases Units to Housing Association Rental

with conditions of lease premium , rent fixation Payments to
etc ** Housing
Association for
maint. Units
Allocations Agency
Tenants Tenants
selected
through Lottery
Process

MODEL 3
HOUSING ASSOCIATION (LEASE) 49
 Developer BANK
Regulatory
Agency
Housing Units built and Bank finances
transferred to MMRDA Monitoring and purchase of
Scrutiny Units from
MMRDA

HOUSING
MMRDA ASSOCIATION

MMRDA Sells Units to Housing Rental Payments

Association with conditions ** to Housing
Association for
maintaining
units
Allocations Agency
HA uses rental
Tenants Tenants surpluses and
selected loans to construct
through Lottery additional units for
Process low income
** Regulatorcan reclaim housing units if there families
is breech in use conditions
MODEL 4
HOUSING ASSOCIATION (SALE) 50
UK SUPPORT FOR HOMELESS INTERNATIONAL MOU WITH MMRDA:

UK Governmental Regulatory Housing Management

and Representative Bodies: Organisations and Expertise:

Government Agency for

Developing Social Housing Largest and Oldest (100 Years
+ Housing Group

Government Agency for Large Housing Group

Regulating Social Housing
Organisations

Trade Body representing 1300 Large Housing Group

Housing Associations

Chartered Institute Housing Large Housing Group

representing 22000 Housing
Professionals
Pre-eminent Legal
Trade Body firm in UK
representing responsible for
ALMOS Housing Policy and
Regulation

HOMELESS INTERNATIONAL
51
SUPPORTING ORGANISATIONS
THANK YOU 52