Madhya Pradesh Housing Redevelopment Policy – 2022
Objective
The redevelopment of public and private housing schemes in the urban areas of the state shall be taken under Public-Private Partnership (PPP) mode or by Public Authorities or by Private to improve quality of living of existing residents and utilize available land optimally. The policy intends to promote private investment to attain the aforesaid objectives with nominal or no cost to the government. The Real Estate Policy envisions bringing in path breaking initiatives for the sector with the following objectives:
Operating Period: 2022 onwards
Focus Sector: Housing, Real Estate, PPP, Developers
Incentives
- Under the Madhya Pradesh Housing Redevelopment Policy, 2022, housing schemes/projects can be undertaken by the Madhya Pradesh Housing and Infrastructure Development board (MPHIDB) ULBs or Private Developers etc.
- The redevelopment of public and private housing schemes in the urban areas of the state shall be done through Public-Private Partnership (PPP).
- The public and private housing schemes which are older than 30 years (from the year of completion of the project) or declared dilapidated by the competent authority (age of a dilapidated building can be less than 30 years) and have a registered Resident Welfare Association (RWA) shall be eligible for redevelopment under this policy.
- Redevelopment cess at the rate of 7% shall be levied on the additional FAR utilized over and above the permissible FAR for the redevelopment project. [Redevelopment Cess = Additional FAR utilised x land area (in mts) x applicable collector guideline rate (Rs/sqmts) x 7%]
- The projects may be exempted from one time municipal and revenue charges.
- The Developer shall be exempted from the obligation of construction of EWS units/LIG units/Payment of Shelter Fee and Depositing Bank Guarantee.
- The 5% stamp duty chargeable on developer against sale of compensatory components (whether in form of built-up area or plot) shall be charged @0.25%.
- FAR shall be allowed as additional 0.50 FAR over and above the permissible FAR, permissible ground coverage shall be 40% of the plot area with up to 7.5 per cent of maximum built-up area shall be permissible as commercial space for convenient shopping.
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