Business Daily from THE HINDU group of publications Monday, Jul 10, 2006 |
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Industry & Economy
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Real Estate & Construction States - Maharashtra Survey identifies 103 buildings as highly dangerous to live in Shailesh Menon
Mumbai , July 9 The pre-monsoon survey conducted by Mumbai Building Repairs and Reconstruction Board (MBRRB) has picked out 103 residential buildings in the city that are highly dangerous to live in, with near cent per cent chances to crumble down before the end of rainy season. The MBRRB, a unit of Maharashtra Housing and Area Development Authority (MHADA), conducts safety assessment surveys every year on all cessed buildings (private buildings from where a cess is collected for repairs and reconstruction) and those reconstructed by the Board in the city. "As per the survey, there are 19,642 buildings in Mumbai, needing massive repairs or reconstruction in the near future. Of this, some 13,000 structures fall under `category A' (Buildings constructed before 1940). We have identified 103 buildings that are unfit and dangerous for living," said Mr Ravindra Karkhanis, Deputy Chief Engineer, MBRRB. Old age coupled with illegal structural extensions, lack of maintenance (due to the freezing of Rent Control Act) and use of premises for commercial purposes are said to be the reasons for the abject deterioration of these buildings. Until now, MBRRB has repaired/reconstructed 3,000 buildings in Mumbai city. "We have already issued vacation notices to tenants of these buildings. Many (tenants collectively) have come forward (to get NOCs), for taking up repair work by themselves. These people have been given three month's time to complete various Municipal formalities," said Mr Karkhanis. MHADA has around 30 pre-qualified builders to reconstruct the demolished buildings. Tenders are invited from these builders and the lowest bidder gets to reconstruct the building.
BUILDERS SEE OPPORTUNITY
Reconstruction and redevelopment industry is turning out to be a goldmine for real estate developers and builders. With flexible FSI (Floor Space Index) ratios and TDR-loading (Transfer of Development Rights) options, builders stand to gain more reconstructing a building than building a new one. "Majority of the old buildings stand on plots with very high FSI values (generally 3, and at times 4 or 5). We may not be able to use it as it is, but then, it is better than the permissible value (1.33) for constructing new buildings. There are options to load up TDR as well (by paying an additional sum of Rs 60 per sq.ft)," said Mr Anand Gupta, Chairman, Builders' Association of India and Managing Director of RNA Builders. Minus the old structure, these lands are prime plots with very high market value. Apartments constructed on these plots are sold easily and at a bigger price.
More Stories on : Real Estate & Construction | Maharashtra | Natural Calamities
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