Navi Mumbai: 650 Housing Societies to Benefit from CIDCO Amnesty Scheme 2024

Approximately 650 housing societies in Navi Mumbai are poised to benefit from the Amnesty Scheme 2024 on Additional Lease Premium and Transfer Fees (Maveja), recently introduced by the City and Industrial Development Corporation (CIDCO). These housing societies encountered challenges in obtaining Occupation Certificates (OC), executing conveyance, society formation, and flat transfer NOCs due to outstanding dues for CIDCO plots.

Following a directive from the chief minister and a subsequent decision by CIDCO, the amnesty scheme (Abhay Yojana) will allow the planning agency to recover the dues while offering a 50% concession to the payees.Experts suggest that developers stand to gain the most from this decision, as they bear the responsibility for obtaining OC, executing conveyance, and forming societies. However, housing societies where developers have passed on transfer fees (Maveja) to homebuyers will also benefit.

Manohar Shroff, Senior Vice President of MCHI Credai Navi Mumbai, highlighted that this move addresses a long-standing demand by developers. He noted that in cases where developers and residents had disagreements over who should bear these costs, the amnesty scheme is likely to bring relief. Under the Amnesty Scheme 2024, the Additional Lease Premium (ALP) has been reduced by 50% for delayed development on CIDCO plots. Developers who failed to complete projects within four years of obtaining the plots are required to pay ALP for the delayed period, with the premium determined by the area and cost of the plots. Shroff mentioned that this decision would assist developers in completing stalled projects by paying half of the ALP.

CIDCO, however, will grant an extension of only two years for project completion after the original construction period expires, charging additional lease charges, irrespective of any earlier granted construction extension period. The developers' body, CREDAI-MCHI, expressed that this relief is much-needed for farmers and individuals affected by Maveja and ALP payments spanning two decades. Additionally, the regularization of added floors in raw houses is now possible under this scheme.