Builder Could Reap 8,000Cr Windfall
Mumbai: On the evening of December 31, as the city prepared to herald the new year, the chief minister-headed Slum Rehabilitation Authority (SRA) issued a letter of intent to a builder to redevelop a prime 17-acre plot of slum land in Worli under a controversial law.
The same project was among several placed on the backburner by the state government two years ago following an expose by TOI and after vehement opposition from the Brihanmumbai Municipal Corporation. The civic body, which owns the land off Dr E Moses Road, had insisted that the project be scrapped and competitive bids be invited. Now greenlighted again despite widespread disapproval, it will rake in a conservative profit of Rs 8,000 crore for the chosen developer, Lokhandwala Infrastructure.
“The decision to issue the letter of intent was taken at the highest political level,” a government source told TOI.
SRA wants NOC for Worli project in a mnth
Mumbai: Despite facing still criticism over the project in the past, the Slum Rehabilitation Authority (SRA) has issued a letter of intent to a builder to redevelop a 17-acre slum land in Worli under a contentious law.
The SRA wants the BMC to give a no-objection certificate to the project within a month. Its letter of intent—a copy of which is with this newspaper—says the builder will have to rehabilitate 3,787 tenement dwellers free of cost on 16 lakh sq ft of built-up area. As compensation, the developer will be entitled to over 12 lakh sq ft in free sale component. Property prices in Worli are in the range of Rs 40,000 to Rs 50,000 per sq ft.
In its edition on February 1, 2011, TOI had revealed how a little-known rule in the Slum Act was used to allocate almost 500 acres of slum pockets, including the Worli land, to six developers between 2008 and 2010. Called Section 3K, the rule allowed the state to pick builders on “first-come, first-served” basis. Furthermore, it excused the developers from obtaining the mandatory consent of 70% of slumdwellers during initial stages. This led to fights between rival builders, court cases and allegations of nepotism.
The same contentious law was employed last December by the SRA to re-initiate the Worli project, which was the most divisive of the shelved lot and the most lucrative because of its prime location. Highly-placed sources said a senior NCP leader was also keen to kickstart the project.
A few months after the TOI expose, the then municipal commissioner Subodh Kumar had written to the government, demanding that the state discontinue the project since it would only benefit the developer. He suggested that the civic body be allowed to redevelop the property—which covers Jijamata Nagar, Mata Ramabai Nagar, Vivekanand Nagar and Jivan Jyot—and exploit its full potential. Kumar also pointed out to the government that the affected slumdwellers had not given their consent to the builder.
The SRA’s unusual hurry in issuing the letter of intent to the builder has raised eyebrows. This is partly because no survey has been carried out to ascertain how many slum residents are eligible for rehabilitation. Also, the letter asks the municipal commissioner to obtain from the Supreme Court special permission to fix the cut-off date for eligible slumdwellers at January 2000 instead of January 1995.
But the biggest contentious issue pertains to Jijamata Nagar, one of the four enclaves making up the Worli project. Residents claim that Jijamata Nagar is not a slum but a series of chawl tenements where project-affected persons were rehoused 40 years ago. “We are project-affected people. How can the SRA declare this area a slum?” said Nadeem Ansari, one of the residents fighting the redevelopment.
Courtesy:
Nauzer K Bharucha TNN
http://epaper.timesofindia.com/Default/Scripting/ArticleWin.asp?From=Archive&Source=Page&Skin=TOINEW&BaseHref=TOIM/2013/01/29&PageLabel=9&EntityId=Ar00302&DataChunk=Ar00900&ViewMode=HTML
Mumbai: On the evening of December 31, as the city prepared to herald the new year, the chief minister-headed Slum Rehabilitation Authority (SRA) issued a letter of intent to a builder to redevelop a prime 17-acre plot of slum land in Worli under a controversial law.
The same project was among several placed on the backburner by the state government two years ago following an expose by TOI and after vehement opposition from the Brihanmumbai Municipal Corporation. The civic body, which owns the land off Dr E Moses Road, had insisted that the project be scrapped and competitive bids be invited. Now greenlighted again despite widespread disapproval, it will rake in a conservative profit of Rs 8,000 crore for the chosen developer, Lokhandwala Infrastructure.
“The decision to issue the letter of intent was taken at the highest political level,” a government source told TOI.
SRA wants NOC for Worli project in a mnth
Mumbai: Despite facing still criticism over the project in the past, the Slum Rehabilitation Authority (SRA) has issued a letter of intent to a builder to redevelop a 17-acre slum land in Worli under a contentious law.
The SRA wants the BMC to give a no-objection certificate to the project within a month. Its letter of intent—a copy of which is with this newspaper—says the builder will have to rehabilitate 3,787 tenement dwellers free of cost on 16 lakh sq ft of built-up area. As compensation, the developer will be entitled to over 12 lakh sq ft in free sale component. Property prices in Worli are in the range of Rs 40,000 to Rs 50,000 per sq ft.
In its edition on February 1, 2011, TOI had revealed how a little-known rule in the Slum Act was used to allocate almost 500 acres of slum pockets, including the Worli land, to six developers between 2008 and 2010. Called Section 3K, the rule allowed the state to pick builders on “first-come, first-served” basis. Furthermore, it excused the developers from obtaining the mandatory consent of 70% of slumdwellers during initial stages. This led to fights between rival builders, court cases and allegations of nepotism.
The same contentious law was employed last December by the SRA to re-initiate the Worli project, which was the most divisive of the shelved lot and the most lucrative because of its prime location. Highly-placed sources said a senior NCP leader was also keen to kickstart the project.
A few months after the TOI expose, the then municipal commissioner Subodh Kumar had written to the government, demanding that the state discontinue the project since it would only benefit the developer. He suggested that the civic body be allowed to redevelop the property—which covers Jijamata Nagar, Mata Ramabai Nagar, Vivekanand Nagar and Jivan Jyot—and exploit its full potential. Kumar also pointed out to the government that the affected slumdwellers had not given their consent to the builder.
The SRA’s unusual hurry in issuing the letter of intent to the builder has raised eyebrows. This is partly because no survey has been carried out to ascertain how many slum residents are eligible for rehabilitation. Also, the letter asks the municipal commissioner to obtain from the Supreme Court special permission to fix the cut-off date for eligible slumdwellers at January 2000 instead of January 1995.
But the biggest contentious issue pertains to Jijamata Nagar, one of the four enclaves making up the Worli project. Residents claim that Jijamata Nagar is not a slum but a series of chawl tenements where project-affected persons were rehoused 40 years ago. “We are project-affected people. How can the SRA declare this area a slum?” said Nadeem Ansari, one of the residents fighting the redevelopment.
Courtesy:
Nauzer K Bharucha TNN
http://epaper.timesofindia.com/Default/Scripting/ArticleWin.asp?From=Archive&Source=Page&Skin=TOINEW&BaseHref=TOIM/2013/01/29&PageLabel=9&EntityId=Ar00302&DataChunk=Ar00900&ViewMode=HTML
