SRA collects Rs 700 cr in rental fees from developers

According to an official, the state government issued a circular in August, last year, mandating that the SRA collect three years’ worth of rental fees in advance whenever a new scheme is approved. This directive has been enforced, resulting in the collection of Rs 700 crore.

Earlier, the non-payment of rental fees to affected slum dwellers had been a frequent grievance, with cases even reaching the courts.

Slum dwellers had highlighted issues with builders failing to complete projects and not paying rent, causing financial difficulties.

In 2022, the SRA identified Rs 600 crore in pending rental payments from 150 schemes.

The official noted that a significant portion of dues deposited with SRA,  when developers of older schemes return for revised permissions, were required to comply with the new advance rental fee provision.

Meanwhile, the SRA is preparing to appoint an auditor and issue show-cause notices to developers of old schemes who are yet to settle their dues, as part of its efforts to enforce compliance and address project delays.