Plans for 10 lakh affordable houses
The Government’s approval on the long-pending Mumbai DP 2034 is a welcome move. The Development Plan (DP) is likely to spur real estate activity in the city and also pave the way for the development of much-needed affordable houses in Maximum City.
Anuj Puri, Chairman – ANAROCK Property Consultants looks at the major highlights and likely impacts of this Development Plan:
Highlights of DP 2034
Overall No Development Zone (NDZ) is 16,700 hectares of which around 12,900 have now been classified as Natural Area (NA), which includes parts of Sanjay Gandhi National Park, Mangroves, salt pans and parts of Film City and Aarey milk colony, along with a few regions under CRZ.
DP 2034 proposes to unlock 3,700 hectares of public and private land currently tagged as No Development Zones (NDZ) – this massive land unlocking will open new avenues for real estate development.
There is a target to construct 10 lakh affordable homes through unlocking of NDZ – this is a major push for the affordable housing segment, and much needed to accommodate the ever increasing population in the city.
The largest additions to the city’s developable land banks in recent history.
Floor Space Index (FSI) levels in the Island City are raised up to 3, in the suburbs FSI is retained at 2.5.
Impact Assessment
Massive real estate activity in the Island City and suburbs
Highly positive for affordable housing development in the city.
However, if infrastructure development does not keep pace with increased construction, the stress on civic amenities and traffic may worsen in the city.
The area to be added to the city’s developable land bank accounts for over eight per cent of Mumbai’s total area of 45,829 hectares.
Mumbai, with an average population density of 31,700 people per square kilometre, was rated as the most crowded city by a UN-Habitat report in 2017.
Maharashtra Chief Minister Devendra Fadnavis has also sanctioned a proposal to publish a list of modifications that the government wants to carry out in the new DP, most of which deal with increasing FSI and modification of public reservations. fii-news.com