BMC nod for 50% premium cut to realty firms
Real Estate

BMC nod for 50% premium cut to realty firms

The Brihanmumbai Municipal Corporation (BMC) has cleared a proposal for granting a 50% discount in premium payments to real estate firms for one year.

In January this year, the Maharashtra state government had cleared the proposal in the legislative assembly, directing the municipal bodies of the state to take a call on the implementation.

The Maha Vikas Aghadi (MVA) government had presented a financial incentive package for the real estate sector last month. As per the package, the 50% concessional rate for premium would be valid till 31 December 2021, for all new construction projects, regardless of size and type, sanctioned in the state on or before the deadline. The ongoing projects may also avail the benefit of premium instalments to be paid by December 31.

Real estate developers pay premiums for availing additional buildable area or floor space index (FSI) for residential and commercial projects.


4th Indian Cement Review Conference 2021

17-18 March 

Click for event info


According to the approved proposals, developers availing the special scheme will have to compulsorily bear stamp duty and registration fees for homes sold during the years in the beneficiary projects.

Development plans fees and premiums are two major sources of revenue for the cash strapped BMC. Earlier, BMC had announced a target of Rs 2,000 crore from development plan fees and premiums for this financial year.

The 10 day Budget session of Maharashtra will begin today. The session will have eight working days and the budget will be tabled on March 8. Bills pertaining to sectors such as revenue, higher education and home are likely to be taken up.

Image Source


Also read: Industry reacts with enthusiasm at Maha premium cut

Also read: Delhi govt cuts real estate circle rates

The Brihanmumbai Municipal Corporation (BMC) has cleared a proposal for granting a 50% discount in premium payments to real estate firms for one year. In January this year, the Maharashtra state government had cleared the proposal in the legislative assembly, directing the municipal bodies of the state to take a call on the implementation. The Maha Vikas Aghadi (MVA) government had presented a financial incentive package for the real estate sector last month. As per the package, the 50% concessional rate for premium would be valid till 31 December 2021, for all new construction projects, regardless of size and type, sanctioned in the state on or before the deadline. The ongoing projects may also avail the benefit of premium instalments to be paid by December 31. Real estate developers pay premiums for availing additional buildable area or floor space index (FSI) for residential and commercial projects.4th Indian Cement Review Conference 202117-18 March Click for event info According to the approved proposals, developers availing the special scheme will have to compulsorily bear stamp duty and registration fees for homes sold during the years in the beneficiary projects. Development plans fees and premiums are two major sources of revenue for the cash strapped BMC. Earlier, BMC had announced a target of Rs 2,000 crore from development plan fees and premiums for this financial year. The 10 day Budget session of Maharashtra will begin today. The session will have eight working days and the budget will be tabled on March 8. Bills pertaining to sectors such as revenue, higher education and home are likely to be taken up. Image Source Also read: Industry reacts with enthusiasm at Maha premium cut Also read: Delhi govt cuts real estate circle rates

Related Stories

Gold Stories

Next Story
Infrastructure Urban

KONE Opens India's First Digital Experience Centre in Pune

KONE, a global elevator and escalator manufacturer, has inaugurated its first Digital Experience Centre (DEC) in India, located in Pune. The facility aims to showcase how artificial intelligence (AI), connectivity and data-driven technologies can enhance customer experiences and improve building operations.The centre was inaugurated by Jussi Herlin, Executive Vice Chair, KONE Corporation; Philippe Delorme, President and CEO, KONE; and Nandan Nilekani, Co-founder and Chairman of the Board, Infosys.Designed as an interactive customer environment, the facility demonstrates digital solutions cover..

Next Story
Infrastructure Urban

CII GreenCo Launches Circularity Guidelines for Indian Industry

The Confederation of Indian Industry (CII) GreenCo Council has launched the CII GreenCo Circularity Guidelines – Pilot Version at the 17th CII GreenCo Waste & Resource Management Summit 2026 in Chennai. The initiative aims to strengthen resource efficiency, waste reduction and circular economy practices across Indian manufacturing and process industries.The guidelines introduce a structured framework with circularity indices covering raw materials, consumables, packaging and other resource inputs. These indicators will help industries assess existing practices, identify opportunities to ..

Next Story
Infrastructure Energy

Global Electronics Association Launches IPC-1783-CO2E Standard

The Global Electronics Association has introduced IPC-1783-CO2E, a new international standard aimed at improving consistency, transparency and comparability in product carbon footprint reporting across the electronics manufacturing industry.The standard, titled International Standard for Data Collection and Reporting of CO2 Equivalent (CO2e) Emissions for the Electronics Manufacturing Supply Chain, provides industry-specific guidance for collecting, estimating and reporting carbon emissions data.With increasing regulatory requirements and customer expectations, electronics manufacturers face c..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code