MMRDA to put 3.22 lakh sq ft TDR on the block

The MMRDA had generated the TDR by rehabilitating slum dwellers at its own cost on government land at two plots in Goregaon and one in Jogeshwari for infrastructure development under the Mumbai Urban Transport Project and the Mumbai Urban Infrastructure Project between 2003 and 2005.

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TDR is a mechanism that permits transfer of possible development on a land parcel after it touches a limit to another designated area.
Like private developers who rehabilitate slum dwellers, the MMRDA also gets construction TDR from the municipal corporation in return for building tenements for slum dwellers displaced by various infrastructure projects.

After testing waters with this sale, the MMRDA plans to sell TDR amounting to around 7.53 lakh square feet in phases. Going by the local market rate, this could fetch the development authority another Rs 260-300 crore.

Requesting anonymity, a senior MMRDA official said, “We have total 1 lakh square metres in TDR. We will decide on selling it in phases depending on the response and the rate that we get on this first sale of 30,000 square metres (3.22 lakh square feet).”

The development authority had advertised this TDR for sale on two occasions in 2010-11 at a reserve price of Rs 3,000 per square feet. However, the first time its efforts drew a blank as it did not receive even a single bid, while the second time, the authority could not get a good rate, the official said.

“This time, we have consciously not put a reserve price to try and attract the best possible rate,” he added.

MMRDA can sell this TDR to private builders who can use it to construct up to 100 per cent over and above the permissible FSI of the project. Developers can use TDR only in the suburbs, either in the same civic ward, or in any plot to the north of the place where it was generated.

manasi.phadke@expressindia.com