The state government is planning to amend the development control rule 33(9), what this means is that it will allow for redevelopment of old buildings by increasing the FSI (floor space index) from the existing 2.5 to 6. With this increase, Mumbai’s skyline is bound to wear a completely new look. The government is also considering compensating the existing flat owners, by giving them flats at much feasible concessional rates and also at the same time banning the sale of flats in these redeveloped buildings for around 10 years or so.
‘Sobo’ – home to the elite and the ‘burbs’ for the middle class: What is this dividing line that cuts across Bombay and marks the great north south divide? Is it just in the minds of the people? Is it the spiraling real estate prices? Is it the absence of the irritating auto rickshaws on the street? Or is it because South Bombay was ‘the Bombay’ during the grandiose days of the British raj? Whatever the answer, South Bombay has always been coveted as a property hotspot. It could boast of the best 5 star hotels, magnificent apartments with a panoramic view of the sea and the prime business centers at Nariman Point.
More on South Mumbai No Longer Mumbai’s Prime Property Area- Suburban Bandra Takes Over
The BMC is set to revise the civic property tax system in the city, in an attempt to cash in on the rising demands and the rise of willing investors. According to the National Urban Renewal Mission (NURM), civic bodies have to carry out regular reforms in the property tax structure.
With Mumbai getting more and more crowded and congested day by day, there was an urgent need for a new airport away from the crowd of the city. The government has finally begun realizing this need. In January this year, the state government acquired land at Navi Mumbai and bids to finish the first phase of the project by 2012. In addition to the congestion of the city, the current Chhattrapati Shivaji International Airport of Mumbai has reached its maximum capacity and cannot be expanded due to space constraints. This project didn’t materialize for several years due to objections from the Ministry of Environment and Forests.
More on What’s Happening With Mumbai’s Second International Airport
Mumbai seems to be on a business expansion spree. Lately, various big names have announced about their plans to diversify and branch out. Most recent among them is the Mumbai-based real estate developer Nirmal Lifestyle. Nirmal Lifestyle will be inviting leading Indian and international institutions like ICICI Venture, HDFC Realty, Goldman Sachs, Lehman Brothers and Deutsche Bank to buy a stake in its property projects.
There are many people from all over India, who come to Mumbai for work and thus need a residential investment property. But residential property can be quite pricey. In fact according to a latest research, “Mumbai recorded the second highest annual growth of 21% in residential rental”.
CB Richard Ellis’ semi-annual Global Market Rents survey puts Dubai in the top ten most expensive office markets for the first time. Mumbai has slipped down to fourth place. London, of course take the top slot.
Mumbai’s commercial real estate prices have appreciated considerably over the last two years but a new report has is that it has emerged as the fourth most expensive office location in the world, succeeding over Paris, Moscow and New York by quoting a rental of Rs.440/- per square foot.
Mumbai has always been at the forefront of property investment hotspots in India. Recent government initiatives show that the city continues to hold the coveted place with the authority. The Mumbai International Airport Slum Rehabilitation Rrogramme, a facelift for Greater Mumbai and the controversial project of redevelopment of Dharavi, Asia’s largest slum are all in the pipeline. The airport slum rehabilitation project has been bagged by the real estate developer Housing Development and Infrastructure Ltd. (HDIL).They have already won the bid for the Mumbai international airport.
Mumbai flat owners, beware. If you own a rental property, it is time to keep your leave and license agreement within sight. Or get the agreement prepared and registered if you haven’t already.
