Maharashtra Tightens Housing Society Redevelopment Rules
Real Estate

Maharashtra Tightens Housing Society Redevelopment Rules

The Maharashtra government has tightened the redevelopment process for co-operative housing societies through a Government Resolution issued by the Co-operation Department on September 30, 2026. The revised framework places greater emphasis on member participation, written consent, competitive developer selection and time-bound documentation.

A redevelopment proposal must receive approval from at least 51 per cent of the society’s total membership. The special general meeting requires a two-thirds quorum. Members who are living abroad, critically ill, persons with disabilities or unable to attend for unavoidable reasons may participate through video conference or other approved remote systems. Their participation counts towards both the quorum and the required majority.

Members voting in favour of redevelopment must provide written consent before the process proceeds. The same requirement applies to the appointment of a developer, for which approval from at least 51 per cent of the total membership participating physically or remotely is required. Votes or opinions from absent members cannot be included. The developer-selection meeting must be video-recorded, with one copy retained by the society and another submitted to the registrar.

Societies must invite at least three competitive tenders from developers. If fewer than three bids are received, the tender period must be extended before the available proposals are placed before the special general meeting. An appointed architect or Project Management Consultant (PMC) must assess the building and land, examine available Floor Space Index (FSI) and Transferable Development Rights (TDR), and prepare a project report covering construction, open spaces, gardens and parking.

The Development Agreement (DA) must be executed within three months of developer selection. The registered Permanent Alternative Accommodation Agreement (PAAA) with individual members must be completed within three months of the DA’s registration. Notices, minutes, attendance records, video recordings, PMC reports, tender documents, comparative statements and draft agreements must be available to members for inspection without charge.

The revised provisions replace the earlier 2019 procedure and related circulars. Redevelopment projects must generally be completed within two years of the first or plinth certificate, although exceptional projects may receive up to three years. The order also provides for action against office-bearers or committee members involved in violations, collusion, fraud or conduct harmful to members’ interests.

The Maharashtra government has tightened the redevelopment process for co-operative housing societies through a Government Resolution issued by the Co-operation Department on September 30, 2026. The revised framework places greater emphasis on member participation, written consent, competitive developer selection and time-bound documentation. A redevelopment proposal must receive approval from at least 51 per cent of the society’s total membership. The special general meeting requires a two-thirds quorum. Members who are living abroad, critically ill, persons with disabilities or unable to attend for unavoidable reasons may participate through video conference or other approved remote systems. Their participation counts towards both the quorum and the required majority. Members voting in favour of redevelopment must provide written consent before the process proceeds. The same requirement applies to the appointment of a developer, for which approval from at least 51 per cent of the total membership participating physically or remotely is required. Votes or opinions from absent members cannot be included. The developer-selection meeting must be video-recorded, with one copy retained by the society and another submitted to the registrar. Societies must invite at least three competitive tenders from developers. If fewer than three bids are received, the tender period must be extended before the available proposals are placed before the special general meeting. An appointed architect or Project Management Consultant (PMC) must assess the building and land, examine available Floor Space Index (FSI) and Transferable Development Rights (TDR), and prepare a project report covering construction, open spaces, gardens and parking. The Development Agreement (DA) must be executed within three months of developer selection. The registered Permanent Alternative Accommodation Agreement (PAAA) with individual members must be completed within three months of the DA’s registration. Notices, minutes, attendance records, video recordings, PMC reports, tender documents, comparative statements and draft agreements must be available to members for inspection without charge. The revised provisions replace the earlier 2019 procedure and related circulars. Redevelopment projects must generally be completed within two years of the first or plinth certificate, although exceptional projects may receive up to three years. The order also provides for action against office-bearers or committee members involved in violations, collusion, fraud or conduct harmful to members’ interests.

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