if any, provided on the podium as per 38(34) (iv) shall be in addition to that provided as per DCR 23.”
As the implementation of the ruling cannot be retrospective, since many projects have already taken off and are at various stages of construction, the court clarified that this ruling of strictly following DCR 23 will be applicable to only those proposals which are yet not approved or have not been issued a Commencement Certificate.
“The developers have another hidden reason to oppose this,” says Ashok Chatiani, a broker. “This manipulation gives them extra profit. Consider this. The open space on ground level will not get them anything, but if it is converted into commercial spaces, he can get good money. The developer purposely keeps minimum space on ground level and blames it on ramps for parking. He then creates parking on the podium and sells them at a huge price to the buyers. He will not earn anything from parking lots on the ground level as it cannot be sold legally.”
Chaitiani adds that gardens and recreational spaces can be charged as super built up area, which would not be possible by creating them on the ground level. “In short, the order takes away their huge back-door margins. Developers cannot admit to this practice. They therefore say the order will delay projects and lead to price rise.”
MCGM receives about 400-600 proposals for various types of developments every year. The civic body earns around Rs 1,500 crore from different charges and premiums. However, after the Supreme Court’s order, MCGM has stopped clearing files related to this DCR and has also sent a circular to concerned departments, associations of developers and architects to strictly follow the ruling.
The municipal commissioner Sitaram Kunte said the ruling is now the law of the land and the Corporation would not approve any proposal violating these rules. Practically all the proposed projects in the island city would be affected.
“This will further delay the projects and may push up the prices which are already very high. Besides, MCGM will lose huge revenue,” says a developer in