MMRDA announces promotional premium rates for additional built-up area in BKC to push development
The new promotional premium rates for additional Floor Space Index (FSI) are set to foster competitive bidding for the remaining plots and support the redevelopment or reconstruction of existing plots, as per the notification issued in July.
2 min read
Previously, additional BUA was charged at rates similar to existing BUA.In a bid to encourage development of remaining plots in the E and G blocks, the Mumbai Metropolitan Region Development Authority (MMRDA) has introduced a special promotional rate to sell additional built-up area (BUA) at the International Finance and Business Centre (IFBC) in Bandra Kurla Complex (BKC). The offer will be available for one year starting mid-July.
The new promotional premium rates for additional Floor Space Index (FSI) are set to foster competitive bidding for the remaining plots and support the redevelopment or reconstruction of existing plots, as per the notification issued in July. These rates will be based on the Annual Schedule of Rates (ASR), reflecting the ready reckoner rate applicable at the time of allotment of additional BUA in square metres.
Previously, additional BUA was charged at rates similar to existing BUA. This led to high costs, given the premium land value in BKC, which impeded development. In fact, the cost of existing BUA and additional BUA was at par. Now, with the introduction of these subsidised rates, there is renewed hope that the MMRDA will attract development proposals from interested parties, an official said.
A source said that this will also bring revenue for the MMRDA, which is carrying out projects worth thousands of crores. The MMRDA has secured total funding of Rs 1,03,622 crore for the development of 37 projects in the Mumbai Metropolitan Region (MMR), of which eight are Metro line projects and 29 transport infrastructure enhancements projects, such as roads, bridges, flyovers, and tunnel roads. Recently, the MMRDA also issued an e-auction bid for seven plots in BKC G block valued at nearly Rs 6,000 crore.
The promotional rate of premium was approved by the Urban Development Department (UDD) led by Chief Minister Eknath Shinde. This proposal was sent by the high power committee set up in 2022 under the chairmanship of additional chief secretary, UDD. Subsequent meetings were held, with a final report submitted in July last year for the amalgamation of plot E and G and to set global FSI of 4 and charges to be levied on additional FSI to promote development, the official added.
You May Like
Photos
