Maharashtra’s new housing policy calls for its own law for building upgrades. Current real estate rules do not cover these projects. The Maharashtra Housing Policy 2025 was approved last month. It suggests a new law like RERA for redevelopment. The policy states that RERA doesn’t handle redevelopment issues. Therefore, MahaRERA cannot address complaints about these projects. Many older buildings in Maharashtra are being rebuilt. These are often two to seven stories high. Redevelopment involves tearing down old structures.
Then, a larger, modern building is constructed. Residents of the old building get bigger homes for free. Builders sell other units for profit. The government also collects money from builders for extra building space. The Maharashtra cabinet approved the 2025 housing policy. The Housing Department then released a government order. This order moves the policy closer to being put into action. Redevelopment means replacing old buildings. Newer, larger buildings replace them. Builders fund this by selling some new units. Building owners get bigger apartments at no cost.
The government gets revenue from the builders. The approved policy says the RERA Act does not apply to redeveloped properties. It states a separate law is needed for these projects. Many redevelopment projects have stalled. This leaves homeowners struggling. Developers often stop paying rent to residents. The policy explains why strict rules are needed. Redevelopment projects often fail to start or are delayed. This causes financial and emotional problems for owners. Many owners live in temporary housing. They rely on monthly rent from developers.
Sometimes, developers stop paying rent. Redevelopment projects face delays for many reasons. The policy also plans ways to help stalled projects.